00:00Saudi Arabia's $55 billion Electronic Arts takeover is set to close next week.
00:06Electronic Arts is officially moving closer to a new era, as the company prepares to complete its $55 billion acquisition
00:14by Saudi Arabia's public investment fund.
00:17According to a recent filing with the U.S. Securities and Exchange Commission, EA confirmed that all required regulatory approvals
00:24for the deal have been received.
00:25The company expects the acquisition to close officially on August 4th, 2026, assuming the remaining standard closing conditions are completed.
00:35The takeover is unlikely to face major regulatory resistance.
00:39Unlike Microsoft's acquisition of Activision Blizzard, which faced scrutiny over concerns about competition within the gaming industry,
00:46the EA deals primarily a change in ownership rather than a merger between two major publishers.
00:52However, the acquisition has generated significant controversy because of who will control EA once the deal is complete.
00:59Yeah, no kidding.
01:01The purchase will take EA private, placing the company under the control of Saudi Arabia's public investment fund,
01:08which is chaired by Crown Prince Mohammed bin Salman.
01:11The Saudi government has faced international criticism over its human rights record,
01:16including allegations connected to the 2018 killing of journalist Jamal Kasagi.
01:22Concerns over the new ownership have already affected parts of EA's community.
01:27Several major Sims 4 creators left EA's creative program in 2025 following news of the planned acquisition.
01:34Content creator Little Zimzi said the values associated with EA's new ownership did not align with her own beliefs,
01:42pointing to concerns over Saudi Arabia's treatment of women and LGBTQ plus communities.
01:48Oh yeah, you think, yeah, you really think, um, I know the idiots, um, in America that, uh, believe that,
01:58uh, Muslim and, uh, LGBTQ can coexist,
02:02but that's not reality.
02:06Former BioWare lead writer Trick Weeks also voiced concerns about the company's future direction,
02:11suggesting that EA's major sports and action franchises would likely remain unaffected,
02:17while games and content involving social issues or LGBTQ representation could face greater scrutiny.
02:24You don't have to worry about that, because either, A, the game's not going to feature that content,
02:29or second, the game's not going to be released, period.
02:32Uh, beyond cultural concerns, the financial structure of the acquisition has also raised questions.
02:39The $55 billion purchase is expected to become the largest leveraged buyout in history,
02:44with EA taking approximately $20 billion in debt as part of the deal.
02:51Large acquisitions involving...
02:53Whoa, whoa, whoa, whoa, whoa.
02:54EA?
02:56They're going to be $20 billion in debt after this?
03:02Okay.
03:03Uh, large acquisitions involving significant debt often lead companies to reduce costs
03:08and focus heavily on their most profitable franchises.
03:11For EA, that could mean prioritizing major revenue generators such as Battlefield and EA Sports FC,
03:18while taking a closer look at less predictable projects.
03:22Critics of the acquisition have argued that the deal could negatively impact creativity and consumer choice.
03:28Players Alliance HQ, a group that has previously protested the takeover,
03:33criticized regulators for approving the purchase
03:35and warned that private investment groups and foreign governments
03:38gaining control of major gaming companies could create risk for the industry.
03:43Gaming depends on creativity and freedom,
03:46the group argued, stating that it plans to continue monitoring EA's decision under its new ownership.
03:51I wonder how long that's going to last.
03:54Uh, despite the controversy, a major roadblock to the acquisition never appeared likely.
03:58One of the investment partners involved in the deal is Affinity Partners,
04:03founded by Jared Kushner, former President Donald Trump's son-in-law.
04:07Trump has maintained a close relationship with Saudi Crown Prince Mohammed bin Salman,
04:12while current Federal Trade Commission Chair Andrew Ferguson has also been a prominent supporter of Trump.
04:18With regulatory approval complete,
04:21Electronic Arts is now preparing for one of the biggest ownership changes in gaming history.
04:25The coming years will determine whether the acquisition simply changes who owns EA,
04:31or whether it reshapes the company's games, priorities, and relationships with players.
04:37Um, yeah.
04:40With, with Saudi Arabia owning EA Electronic Arts,
04:45are you, is there anyone out there that really doesn't think that things are going to change once they take
04:51control?
04:52So, seriously, seriously, um, anyone with an IQ over 80 can, uh, can see that,
04:59of course things are going to change.
05:01They're not going to continue releasing games the way they've been released.
05:04Uh, you might be playing on the other side of, um, in the next Battlefield, um,
05:11if, if this, if this does go through.
05:13Um, games that, um, are LGBTQ friendly are going to be MIA.
05:22Uh, they're not, they're not going to exist anymore.
05:27So, you know, and I saw someone leave a stupid comment saying,
05:33well, who cares, um, who's releasing the games that you want to play?
05:37You still get to play them.
05:38Um, not if the, not if the game that you want to play, um, has aspects that goes against the
05:47country's beliefs.
05:49You know, this is, you know, so, I mean, while Saudi Arabia may not be the most controlling country,
05:57it's still a Muslim country.
06:01Um, so, like I said, I expect the Sims to be a dead franchise.
06:07Um, who knows what's going to happen to the American sports, you know, the, uh, Madden series,
06:14the college, um, was college football also under the EA umbrella or was that a different company?
06:20Um, but still, any sports that was under the, um, EA, um, I have no idea what, what's going to
06:29happen there,
06:29if they're going to continue or not.
06:32Um, yeah, so, and like I said, when it comes to, like, war shooters,
06:38they're obviously not going to have anything that paints them in a bad light allowed to be released.
06:43So, you know, I really, I really highly doubt that, uh, they're going to buy this company
06:50and just let things run stat quo.
06:54Because another thing, if things were going to want, if things running stat quo were so great anyway,
07:02why, why the sale in the first place?
07:10So, yeah, um, anyone who, uh, I would be totally surprised if EA's games are going to remain unchanged
07:23and come out like they were, but I just, I just don't see that, especially if a game goes against
07:30something
07:31that they fully believe in, they being Saudi Arabia.
07:37You know, so, I mean, and don't fool yourself, uh, you know, like when WWE goes over there
07:44to produce wrestling events, if the women get booked, they still have to wrestle, like, in full-length suits
07:51because they can't show any skin below the neck.
07:56So, exactly what makes you think that's not going to affect, say, something like The Sims?
08:04Yeah, I might not have any more jokes to make about The Sims, uh, if this goes through on August
08:104th.
08:11Um, and like I said, I don't know what's going to happen with the sports franchises,
08:17and I'm really, uh, think you're kidding yourself if, like, any war shooters are not going to be impacted by
08:27this as well.
08:30Uh, but, only time will tell to see if I'm wrong.
08:36Uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh,
08:36uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh,
08:36uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh,
08:36uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh,
08:36uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh,
08:36uh, uh, uh, uh, uh, uh, uh, uh, uh, uh, uh
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