Electronic Arts, the studio behind FIFA, Madden NFL, The Sims and Battlefield, has agreed to a $55 billion buyout led by Saudi Arabia’s Public Investment Fund (PIF), alongside Silver Lake and Affinity Partners. The deal is not only the largest private equity transaction in gaming history, it also marks Riyadh’s most ambitious play yet to position itself as a global force in digital entertainment.
Under the agreement, EA shareholders will receive $210 per share in cash, representing a 25% premium over its unaffected stock price. The deal, expected to close in fiscal Q1 2027 pending regulatory approvals, will see EA exit the Nasdaq and operate as a private company. CEO Andrew Wilson will remain at the helm, while EA’s headquarters will stay in Redwood City, California.
For Saudi Arabia, the move is part of a broader strategy to diversify its economy under Vision 2030. Through Savvy Games Group — a wholly owned subsidiary of PIF — the Kingdom has already invested billions into global gaming. Savvy holds stakes in Nintendo, Take-Two Interactive, and Activision Blizzard, while also spearheading the development of esports infrastructure in Riyadh.
Yasir Al-Rumayyan, Governor of PIF, described the deal as both strategic and cultural:
“Gaming is now the fastest-growing form of entertainment. By supporting Electronic Arts, we are investing in an industry of the future while cementing Riyadh and Saudi Arabia as a hub of global digital culture.” (PIF)
Andrew Wilson, EA’s CEO, framed the buyout as liberating:
“We are entering a new era of opportunity. This is one of the largest and most significant investments ever made in the entertainment industry. Our new partners bring deep experience across sports, gaming, and entertainment. They are committed with conviction to EA – they believe in our people, our leadership, and the long-term vision we are now building together.” (EA Newsroom)
The financial mechanics are bold. The transaction involves about $36 billion in equity commitments from PIF, Silver Lake, and Affinity Partners, plus $20 billion in debt financing led by JPMorgan Chase. Analysts warn that the leveraged structure could weigh on EA’s balance sheet, forcing cost controls or creative trade-offs. Critics have also raised cultural concerns, questioning whether Saudi ownership might influence content or themes in EA’s franchises. (Reuters)
Yet the upside for both sides is clear. For EA, going private means freedom from quarterly Wall Street scrutiny and the ability to pursue high-risk, high-reward bets in cloud gaming, Web3 integration, and global esports. For Riyadh, the deal is about cultural power: controlling IP that resonates with hundreds of millions worldwide, while transforming the Kingdom into a hub for digital and creative industries.
EA deal marks Riyadh’s boldest step in gaming and global entertaintment