“This Feels Catastrophic” — EA’s $50 Billion Saudi Buyout Raises Industry Fears

Electronic Arts (EA) has officially agreed to a $50 billion acquisition deal with Saudi Arabia’s Public Investment Fund (PIF), Silver Lake, and Affinity Partners. The move, announced yesterday, September 29, is one of the largest buyouts in gaming history and has quickly ignited debate over the future of the publisher and the broader industry.

The current Crown Prince of Saudi Arabia is Mohammed bin Salman Al Saud (often called MBS)

What Does the Deal Mean for EA?

Under the terms of the agreement, EA will transition from being a public company to private ownership. The consortium’s buyout includes around $20 billion in debt, a figure that analysts say could shape the company’s direction for years.

Nicholas Lovell [Industry Analyst, Spilt Milk Studios]: 

“That debt load takes the cashflows from big, predictable games and uses it to service the debt, not to invest in future games. Either way, there will be a lot of job losses… margins will be squeezed. And I suspect speculative investment in new ideas will be limited.”

Could BioWare Face the Axe?

One of the most talked-about concerns centers on BioWare, the studio behind Mass Effect and Dragon Age.

Trick Weekes [Former BioWare Writer]: 

“I believe EA will no longer be as much of a fan of BioWare’s ‘gay stuff,’ as the new owners of the studio will be more focused on EA’s sports and shooter titles. This could even lead to the shutdown of BioWare.”

After mixed receptions to Mass Effect: Andromeda, Anthem, and the underperformance of Dragon Age: The Veilguard, BioWare’s future was already in question. While a new Mass Effect is in development, its release remains years away, leaving fans unsure of where the studio stands under EA’s new leadership.

Industry Analysts Weigh In

The deal has triggered a flood of reactions from across the gaming world:

Eric Kress [Gossamer Consulting]:

“Any major public gaming company going private is generally bad for the industry, meaning less transparency, fewer public comps, weaker liquidity.”

Jason Schreier [Reporter, Bloomberg]: 

"A lot of people are focused on the Saudi Arabia part of this, but the far bigger immediate impact will come from the new private EA being on the hook for $20 billion in debt. That could mean mass layoffs, more aggressive monetization, and other big cost-cutting measures.”

Eden Chen [CEO, Pragma]:

“A lot of industry people knew that EA CEO Andrew Wilson was looking to sell the company. Given the Saudi PIF’s ambitions across sports and gaming, it is the most obvious buyer. I’m just happy that a big tech company didn’t buy them out as that would lead to more consolidation and power moving to platforms and away from developers.”

Joost Van Dreunen [Industry Analyst]: 

“The timing is tricky. Battlefield 6 appears solid, but it will soon face competition from GTA 6. Meanwhile, EA Sports FC has not entirely replaced FIFA’s momentum. The bigger story is capital—competing at this level requires sovereign-scale financing, something only players like PIF can provide.”

Mat Piscatella [Industry Analyst at Circana]

"$20,000,000,000 of debt financing is a shockingly large number to have to service, while also transitioning from a public to private organization and all the implications that has on the people that work in it. We've obviously never seen anything like this at this scale in the industry before."

The Broader Implications

Beyond financial concerns, some critics see the deal as part of Saudi Arabia’s wider cultural strategy.

Rafael Brown [CEO, Symbol Zero, Former EA Employee]: 

“If the Saudis want to truly engage in sportswashing, there is probably no better target than to acquire Electronic Arts, home of many American and European sports videogame franchises.”

Chet Faliszek [Co-Founder, Stray Bombay, Former Valve Writer]: 

“This move is gross. It’s part of Saudi Arabia’s ongoing attempts to buy western culture, as it has been doing in other areas like golf, F1, and football.”

Lex Luddy [Game Developer & Critic]: 

“WELL, THIS F*CKING S*CKS. I really don’t think people realise just how bad the Saudis and Trump’s nephew controlling the stable of IP held onto by EA is for the art form. If you think mainstream gaming was stale before, now it’s going to be owned by the most conservative people on the planet too.”

Luke Plunkett [Co-founder of Aftermath]: 

“This feels catastrophic in ways few other big industry deals have.”

Mike Bithell [Independent Developer, Thomas Was Alone, TRON: Catalyst]:

“Back in my day, EA bought things and dismantled them, not the other way around.”

Nash [Industry Commentator]: 

“This is Mass Effect, Dragon Age, The Sims and every other title that might possibly be even the slightest bit queer getting killed dead.”

Stephen Totilo [Reporter, Game File]: 

“I spoke to some current EA workers to get their takes. One said ‘I’m nervous… layoffs usually follow those types of acquisitions.’ Another added, ‘Andrew Wilson basically said f** you to all women and LGBTQ employees at EA with this deal.’”

TBSkyen [YouTuber & Gaming Analyst]: 

“EA owns BioWare (Dragon Age, Mass Effect), Respawn (Titanfall, Apex Legends), System Shock, Dead Space, Need for Speed, classics like Ultima and Wing Commander, and The Sims—on top of so many more games and franchises which will now be subject to the control of the Saudi Royal family.”

What Comes Next?

For now, EA’s CEO Andrew Wilson remains in charge, but questions loom large. Will EA double down on live-service models and sports franchises to service debt, or will it maintain investment in story-driven titles and creative risks?

The coming years will likely reveal whether this $50 billion acquisition becomes a stabilizing force or, as Nicholas Lovell warned, a “total disaster” for both EA and the industry.