EA has explained some of the thinking behind its proposed $55bn sale to a Saudi-led group in a staff FAQ.
The publisher said that the deal is not a response to financial problems – quite the opposite. “EA is in a strong financial position,” it said. “This partnership gives us the ability to move faster and unlock new opportunities on a global stage.”
On potential layoffs, EA stated that “there will be no immediate changes” to any EA staffer’s “job, team, or daily work, as a result of this transaction”. It also dismissed concerns over the $20bn in debt the company will be taking on as part of the go-private deal.
“Through strong cash generation, we will continue pursuing organic and inorganic growth opportunities as a private company, even with the new debt,” said EA. “The Consortium also expects to invest in our business, enabling us to accelerate innovation and unlock new growth opportunities.”
EA also confirmed that it expects the deal to conclude in the next six to nine months, and that there will be no changes to the executive team or where the company is headquartered once it is complete.
Addressing a question around company culture, EA added that its “mission, values, and commitment to players and fans around the world remain unchanged,” and that it will “maintain creative control” and “creative freedom” over all of its games.
On AI use, EA said that its approach will be “thoughtful” and “steady”, and confirmed that staff with shares in the firm will effectively get $210 in cash for each vested or unvested share once the company goes private.
As our EA source claimed last month, the forthcoming PIF takeover could transform the fortunes of EA’s mobile arm, which has been held back by strict cost management and a subsequent lack of UA spend.
EA has closed many of its mobile games recently, including The Sims Mobile, Kim Kardashian Hollywood, The Simpsons: Tapped Out, Lord of the Rings: Battle for Middle-Earth, Tap Sports Baseball and F1 Mobile. It also merged its mobile teams into its ‘HD’ counterparts in March 2024.
Those moves followed the cancellation of Apex Legends Mobile, Battlefield Mobile, and the shuttering of mobile studio Industrial Toys in January 2023. We later discussed the demise of Battlefield Mobile studio Industrial Toys with studio founder Alex Seropian.
