Saudi-led group completes $55bn purchase of gaming giant EA
A Saudi-led group has completed the $55bn purchase of gaming giant Electronic Arts (EA), making it the largest leveraged buyout in history. The deal includes the Public Investment Fund (PIF) and Affinity Partners, led by Jared Kushner.
Intelligence analysis by Llama
A Saudi-led group has bought gaming giant Electronic Arts (EA) for $55bn, making it the largest leveraged buyout in history. The deal includes the Public Investment Fund (PIF) and Affinity Partners, led by Jared Kushner. EA is known for making and publishing best-selling games such as EA FC, formerly known as Fifa, The Sims and Mass Effect.
A group of investors, including Saudi Arabia's Public Investment Fund, has bought the company that makes popular video games like EA FC and The Sims. This has raised concerns because some of the games promote inclusivity and LGBT+ relationships, but Saudi Arabia has laws that punish people for being gay. The investors want to make more money from the games, but some people are worried about what this means for the games and the people who play them.
Analysis
A $60B Vote of Confidence
The sale of gaming giant Electronic Arts (EA) for $55bn to a group of buyers including Saudi Arabia's Public Investment Fund (PIF) has been finalised. The American company is known for making and publishing best-selling games such as EA FC, formerly known as Fifa, The Sims and Mass Effect. The investors, who include Affinity Partners - led by President Donald Trump's son-in-law, Jared Kushner - are taking EA private, meaning all of its public shares will be purchased and it will no longer be traded on a stock exchange.
Why Cursor?
The deal caused concern amongst some fans of EA's massive library of games, particularly as games like The Sims champion inclusivity and LGBT+ relationships. In Saudi Arabia, consensual same-sex sexual conduct can be punishable by death or flogging under interpretations of Sharia law. In protest at the deal to sell EA to the PIF, the advocacy group Players Alliance HQ has asked gamers to petition their local politicians and speak out against it.
The Road Ahead
The deal ranks as the second-biggest acquisition in gaming history, after Microsoft's $69bn purchase of Activision Blizzard, the company behind Call of Duty. At the initial deal announcement, EA's chief executive Andrew Wilson, who will retain his position, said the firm plans to 'create transformative experiences to inspire generations to come'. 'I am more energized than ever about the future we are building,' he said. The question as to why Saudi Arabia in particular has spent an astronomical amount to buy EA has been a hot topic since news of the deal broke in September 2025. George Osborn, journalist and author of Power Play: Video Games, Politics and the Battle for Global Influence, said it was still an 'appealing' financial opportunity to PIF, despite the enormous price tag. He pointed to the longevity of the 35-year-old business and its 'seemingly evergreen' live-service games which are continuously updated after release.
Key points
- A Saudi-led group has completed the $55bn purchase of gaming giant Electronic Arts (EA).
- The deal includes the Public Investment Fund (PIF) and Affinity Partners, led by Jared Kushner.
- EA is known for making and publishing best-selling games such as EA FC, formerly known as Fifa, The Sims and Mass Effect.
- The deal has raised concerns amongst some fans of EA's games, particularly as games like The Sims champion inclusivity and LGBT+ relationships.
- The Saudi Arabian government has been accused of sportswashing, sponsoring or hosting sporting events to promote a positive public image and distract attention from human rights issues.
The deal could lead to more investment in the gaming industry, potentially creating new jobs and opportunities for developers. However, it also raises concerns about the influence of Saudi Arabia's government on the company's creative decisions.
The deal could lead to a reduction in creative freedom for the company, potentially resulting in the censorship of themes such as free speech, gender, and LGBT+ relationships. Additionally, the company's financial performance may be affected by the debt it has taken on to finance the deal.
