industry

EA goes private after Saudi-backed buyout; debt raises questions for games and staff

Last week Electronic Arts completed a private acquisition and is no longer a publicly listed company. Ownership is now shared between several private equity firms and Saudi Arabia's Public Investment Fund following months of governmental approvals and public debate. The large debt taken on for the buyout increases financial pressure and raises questions about EA's future priorities, including single-player projects, studio locations, and staffing.

• Acquisition closed last week, returning Electronic Arts to private ownership.
• Ownership is split between multiple private equity firms and the Kingdom of Saudi Arabia's Public Investment Fund.
• The transaction required several months of governmental approvals and prompted public debate prior to completion.
• The buyout added a large debt burden to EA, creating pressure to reprioritise projects, shift development investments (including to lower-cost regions), or reduce staffing to cut costs.