Shortly after the recent announcement that Electronic Arts is being bought by Saudi Arabia’s PIF, Silver Lake and Affinity Partners as part of a $55 billion deal, a new report by The Financial Times (via GamesRadar) indicates that the agreement also involved putting EA under a $20 billion debt.
Because of this debt, investors that are part of the new ownership of EA are also hoping to streamline game development at the company to recoup costs and boost profits at a quicker pace. This streamlining process, while not yet confirmed, will also involve the use of generative AI. However, the report doesn’t confirm what purpose the generative AI will fulfill in EA’s game development pipelines.
As is often the case with major company acquisition, EA might also start seeing lay-offs happening as part of this streamlining process that the investors now want. The investors looking to using AI could also have cascading effects on employment at the company for its various studios.
The agreement for EA to be acquired by the investor consortium was valued at around $55 billion. As part of the deal, EA’s current shareholders are being paid $210 per share in cash. This, as was noted by the announcement was a 25 percent premium over EA’s share price as of the market closing on September 25, 2025. It is also a premium over the all-time high share value that EA saw, coming in at $179.01 on August 14, 2025.
“Our creative and passionate teams at EA have delivered extraordinary experiences for hundreds of millions of fans, built some of the world’s most iconic IP, and created significant value for our business. This moment is a powerful recognition of their remarkable work,” said EA CEO and chairman Andrew Wilson in a statement.
“Looking ahead, we will continue to push the boundaries of entertainment, sports, and technology, unlocking new opportunities. Together with our partners, we will create transformative experiences to inspire generations to come. I am more energized than ever about the future we are building.”
The deal has already been approved by EA’s board of directors, and is expected to be finalised in Q1 FY2027. As part of the deal, EA will not be moving its headquarters, instead remaining at its current location of Redwood City, California. Wilson will also continue in his role as CEO of the company after the transaction is completed.
“This investment embodies Silver Lake’s mission to partner with exceptional management teams at the highest quality companies. EA is a special company: a global leader in interactive entertainment, anchored by its premier sports franchise, with accelerating revenue growth and strong and scaling free cash flow. We are honored to invest and partner with Andrew – an extraordinary CEO who has doubled revenue, nearly tripled EBITDA, and driven a fivefold increase in market cap during his tenure,” said Silver Lake co-CEO and managing partner Egon Durban.
“The future for EA is bright, we are going to invest heavily to grow the business and we are excited to support Andrew and the EA team as the company accelerates innovation, expands its reach worldwide, and continues to deliver incredible experiences to players and fans across generations.”
