EA's $55B Saudi Buyout Set to Close Next Week

Electronic Arts is on the verge of one of the largest transactions in gaming history, with the company confirming that its $55 billion leveraged buyout is expected to close next week after securing every regulatory approval required to finalize the deal.

The acquisition will transfer ownership of EA — publisher of franchises worth billions including FIFA (now EA Sports FC), Madden, Apex Legends, and The Sims — from public shareholders to a consortium led by Saudi Arabia's sovereign wealth interests, private equity giant Silver Lake, and Affinity Partners, the investment firm founded by Jared Kushner. Once complete, EA will be taken private, ending its run as a publicly traded company.

How Did a $55 Billion Deal Get Approved So Quickly?

Regulatory momentum behind the deal has been striking. The European Commission granted its approval roughly a week before the anticipated closing date, concluding that the transaction does not raise meaningful competition concerns within the European market. According to the European Commission's assessment, the consolidation of EA under private ownership was unlikely to distort competitive dynamics in the video game publishing sector.

In 2025, the global video game market is valued at approximately $227 billion, according to industry analysts, which helps contextualize why a $55 billion price tag — representing roughly 24% of the entire market's value — drew such intense regulatory scrutiny in the first place. The speed of clearance suggests authorities were satisfied that no single franchise or distribution bottleneck gave the new owners undue leverage over competitors or consumers.

Who Are the New Owners Taking EA Private?

The buying consortium is an unusual mix of sovereign capital, institutional private equity, and politically connected investment. Silver Lake, which manages over $100 billion in assets under its broader portfolio, brings deep experience in technology and entertainment buyouts. Affinity Partners, founded by Jared Kushner following his tenure in the Trump administration, has been expanding aggressively into media and technology assets since 2021.

Saudi Arabia's involvement reflects a broader pattern: per reporting on the kingdom's investment strategy, Saudi sovereign wealth has committed tens of billions of dollars to gaming and esports infrastructure since 2022, including a reported $37 billion earmarked for gaming-related investments through the Public Investment Fund. EA represents the most significant single acquisition in that ongoing push.

Research from investment analysts covering the deal suggests the leveraged structure means EA's own future cash flows will help service the acquisition debt — a model that places significant pressure on the publisher to maintain or grow revenue from its live-service titles, including Ultimate Team modes that generated an estimated $1.6 billion in net revenue in EA's last reported fiscal year.

What Does Going Private Mean for EA's Games and Players?

Taking EA off public markets removes the quarterly earnings pressure that has long shaped its product decisions, for better or worse. Advocates of the deal argue that private ownership allows EA's leadership to invest in longer development cycles and take creative risks without satisfying Wall Street every 90 days. Critics counter that private equity ownership historically prioritizes cost efficiency and return on investment over consumer experience.

For the skins and cosmetics economy specifically — a segment EA has leaned into heavily across titles like Apex Legends and EA Sports FC — the transition raises questions about monetization philosophy. Live-service revenue is almost certainly a core justification for the $55 billion valuation, meaning the new owners have a strong financial incentive to maintain, and potentially expand, in-game economies that drive recurring spending.

Key Takeaways

• EA's $55 billion leveraged buyout is expected to close next week, with all required regulatory approvals now in place.
• The acquisition consortium includes Saudi sovereign wealth interests, Silver Lake (managing $100B+ in assets), and Jared Kushner's Affinity Partners.
• The European Commission approved the deal approximately one week before closing, citing no significant competition concerns.
• EA's Ultimate Team modes alone generated an estimated $1.6 billion in net revenue in the publisher's last reported fiscal year, underlining the live-service value driving the deal's price tag.

FAQ

Will EA games change after the buyout closes?

No immediate changes to game releases or services have been announced, though going private removes quarterly earnings pressure and may shift long-term product strategy toward sustaining live-service revenue streams.

Why is Saudi Arabia investing so heavily in gaming companies?

Saudi Arabia's Public Investment Fund has committed an estimated $37 billion to gaming and esports since 2022 as part of a national diversification strategy, with EA representing the most significant single acquisition in that campaign to date.

Does the European Commission approval mean the deal faces no further regulatory hurdles?

EA has stated that all regulatory approvals required to close the transaction are now in place, suggesting no outstanding reviews remain as of the announcement in 2025.