Published: October 27, 2025
In late September, Electronic Arts Inc. (EA) announced in a press release that it would be acquired by an “investor consortium,” or a group of individuals or corporate entities that come together for a joint investment. The group consists of PIF, Silver Lake, and Affinity Partners. They are in the process of purchasing a large stake of the company in an all-cash transaction for $55 billion – the second largest buyout in the industry’s history.
With a definitive agreement in the works, the consortium will acquire 100% of EA, divvying up shareholder stocks with PIF’s pre-existing 9.9% stake rolling over in the merger. The goal of this merger, according to the press release, is to “blend physical and digital experiences, enhance fan engagement, and create new growth opportunities.”
EA has been a staple in video game entertainment in the United States since 1982. Founded by former Apple employee Trip Hawkins, the company was a pioneer in early video game development, despite a fluttery reputation over the last two decades.
Silver Lake is an investment firm based in Silicon Valley, with headquarters in London, Hong Kong, and Singapore. The company was founded in 1999 by Jim Davidson, Glenn Hutchins, Roger McNamee, and David Roux. This company specializes in technology investments such as Dell, Airbnb, and EA.
Affinity Partners is an investment firm based in Miami, Florida, and founded by Jared Kushner in 2021. Kushner is Donald Trump’s son-in-law and served as Trump’s senior advisor in his first term. The firm specializes in investing in American and Israeli companies.
PIF, or The Public Investment Fund, is one of the largest sovereign wealth funds in the world, with a cumulative asset value of $941 billion. The wealth fund is based in Saudi Arabia and was created in 1971 to invest funds for the Saudi Arabian government. PIF has been focusing on getting into the gaming industry to diversify its portfolio, but private investment firms like this one focus more on buy-to-sell models, which usually means they’re looking to make big financial returns quickly rather than building up the company.
Public reception of the deal has been lackluster, due to the acquisition deal involving Israeli and Saudi companies. With growing international criticism of Israel, questions about Saudi Arabia’s human rights record, and EA’s reputation for aggressive monetization, many consumers are skeptical about this deal. Critics of EA point to a lack of innovation in their video game technology and a focus on microtransactions. This has led many to view the buyout as nothing more than another high-value deal between large and wealthy corporations, without a clear benefit for consumers.
Additionally, some worry that the deal is bad news for workers. Big company mergers like this one often signal layoffs. Especially coming off an industry-wide wave of tens of thousands of layoffs in recent years, the debt that these investment firms are acquiring from the merger is likely to result in canceled projects and closed offices. Even though EA’s pockets are surely to be fattened by this deal, they are not doing much to increase customer faith in their company.
