Because the Saudis leveraged this buyout via a massive loan from JP Morgan, EA's debt is now 10 times higher than it was when it was a publicly traded company: $2.2b to $22b.
Turns out the notion that they wouldn’t need humans to make games and they would use AI for most things was a pipe dream and firing staff to be profitable with the huge loan didn't work.
Now they are fucked.
Every company that spends money to buy up companies died and goes defunct because they keep failing to realize that they have to keep spending loads of money to make money and it doesn’t just roll in after acquiring IPs. Not even mobile slop or live service can save them anymore.
Buying EA for influence? With the reputation EA has in gaming? They're a joke - they're not influencing anything. Its like buying a violin to fix a flat tire.
End of an era. Who do we vote as the worst company ever now?
I guess it'll keep existing with the name EA? "Public investment fund" doesn't sound too fitting for a game company
Because the Saudis leveraged this buyout via a massive loan from JP Morgan, EA's debt is now 10 times higher than it was when it was a publicly traded company: $2.2b to $22b.
Turns out the notion that they wouldn’t need humans to make games and they would use AI for most things was a pipe dream and firing staff to be profitable with the huge loan didn't work.
Now they are fucked.
Every company that spends money to buy up companies died and goes defunct because they keep failing to realize that they have to keep spending loads of money to make money and it doesn’t just roll in after acquiring IPs. Not even mobile slop or live service can save them anymore.
Bending Spoons seems to be doing fine
What a waste of Saudi money.
It's not a financial investment. They're buying influence.
>They're buying influence.
Buying EA for influence? With the reputation EA has in gaming? They're a joke - they're not influencing anything. Its like buying a violin to fix a flat tire.
This. See Bobby Kotik and the Epstein files.
Between Saudi and right wing influence it seems one publisher will be trying to influence social commentary.