Electronic Arts Nears $50 Billion Deal to Go Private

Electronic Arts (EA), the publisher behind global gaming hits like The Sims, Battlefield, and EA Sports FC, is reportedly close to being taken private in a leveraged buyout deal valued at up to $50 billion. The news, first reported by The Wall Street Journal, sent EA’s stock climbing nearly 15% on Friday.

Who Is Involved in the Buyout?

According to the reports, the potential deal is being backed by a powerful investor group that includes Saudi Arabia’s Public Investment Fund (PIF), private equity firm Silver Lake, and Jared Kushner’s Affinity Partners. A formal announcement could come "as soon as next week," though negotiations on price are still "ongoing."

The PIF already owns about 10% of EA, having purchased its stake back in 2023. Silver Lake does not currently hold shares in EA, but it is no stranger to gaming investments: it has partial ownership of Unity, a widely used game development engine. Meanwhile, Affinity Partners, founded by U.S. President Donald Trump's son-in-law Kushner, has close financial ties to investors in Saudi Arabia, Qatar, and the United Arab Emirates.

If finalized, this would mark the largest leveraged buyout in history, surpassing the 2007 $45 billion acquisition of Texas utility company TXU.

Why Does This Matter for EA?

For decades, EA has been one of the most influential names in gaming, with its annualized sports titles Madden NFL, EA Sports FC (formerly FIFA), and the newly revived College Football providing consistent revenue streams. These franchises make EA a particularly attractive target, especially for investors like PIF who have been aggressively expanding into sports, esports, and entertainment as part of Saudi Arabia’s Vision 2030 diversification strategy.

Analysts suggest EA’s predictable profits from annualized games make it a strong candidate for private ownership. As D.A. Davidson & Co analyst Wyatt Swanson explained to Reuters, “EA does make sense as an acquisition target — the cash flows are fairly consistent and EA’s annualized titles make for predictable revenue/profitability.”

If the deal closes, EA would join a growing list of major gaming companies that have been acquired or taken private in recent years. Activision Blizzard was acquired by Microsoft for $68.7 billion in 2023, and Take-Two Interactive bought Zynga for $12.7 billion in 2022. This trend has reduced the number of publicly traded gaming publishers, consolidating power in the hands of fewer major players and private equity groups.

The timing is also notable. EA has faced a tough year with layoffs across several studios, including BioWare and Respawn Entertainment, and the cancellation of multiple projects such as a Black Panther game. At the same time, the company is banking heavily on upcoming releases like Battlefield 6, set to launch on October 10, and EA Sports FC 26, which just released this week.

Saudi Arabia’s Growing Footprint in Gaming

This move also highlights Saudi Arabia’s continued push into gaming and esports. Through its Savvy Games Group, the PIF has invested billions into developers and publishers worldwide, with stakes in Nintendo, Capcom, Activision Blizzard, Embracer Group, and owning Scopely and Niantic outright. It also owns ESL FACEIT Group, the largest esports tournament organizer in the world. Additionally, through Crown Prince Mohammed bin Salman’s MiSK Foundation, they control SNK, the publisher of Fatal Fury and King of Fighters.

As NYU Stern professor Joost van Dreunen told Reuters, “For Saudi Arabia’s PIF, the deal would cement games as cultural infrastructure — assets as critical to global influence as sports or film.”

What Happens Next?

As of now, none of the involved parties, EA, PIF, Silver Lake, or Affinity Partners, have made public comments about the deal. EA’s next earnings call is scheduled for October 28, 2025, where the company may address the reports directly.