In a blockbuster move, Electronic Arts (EA) has agreed to be taken private in a $55 billion leveraged buyout by a consortium composed of Saudi Arabiaโs Public Investment Fund (PIF), private equity firm Silver Lake, and Affinity Partners.
This is officially one of the largest take-private deals in history. EA shareholders will receive $210 per share, reflecting a 25 % premium over pre-announcement trading levels.
The deal is expected to close in the first fiscal quarter of 2027, pending regulatory and shareholder approval.
Why This Acquisition Matters
This isnโt just a financial headlineโit reshapes EAโs strategic runway, especially in high-stakes franchises like Star Wars. A few key takeaways:
- Greater flexibility, less short-term pressure
Once private, EA is less beholden to quarterly earnings scrutiny from public markets. That could free the studio to invest more boldly in long-term projects, experiment with riskier ideas, or wait for perfect execution rather than rushing to hit revenue targets. - Capital backing for bigger visions
With the deep pockets of PIF and Silver Lake, EA now has access to large capital pools. That means more breathing room for big budgets, tech investments (like AI, cloud, or next-gen engine work), or cross-media expansions. - Change in corporate incentives
New ownership often means new internal priorities, exec reshuffles, and altered metrics of success. Projects will be evaluated not just by box office or salesโbut by their scalability, profitability, and alignment with global growth goals. - Global gaming ambitions
PIF has been aggressively investing in the gaming space already. This move strengthens their influence in Western game studios and signals that Saudi capital is increasingly eyeing global entertainment.
Whatโs Happening at EA & Star Wars Now
So, how does this intersect with EAโs current Star Wars game lineup?
- Star Wars Jedi Trilogy (Final Installment)
As of now, EA is allegedly deep into developing the โfinal installmentโ of its Jedi trilogy. Whether that game is nearing release or still undergoing heavy iteration, this acquisition could either amplify or disrupt its roadmap. - Zero Company Publishing
EA is reportedly publishing Zero Company, a new project (whether games, narrative, or more) that may expand their footprint beyond traditional franchises or tie into transmedia strategies.
EAโs official press release frames this buyout as accelerating EAโs โstrategic vision to advance the future of entertainment.โ The message is clear: under new ownership, EA intends to push harder into immersive media, cross-platform storytelling, and large-scale innovation.
Risks & Challenges Ahead
This deal offers opportunitiesโbut also comes with serious risks:
- Regulatory scrutiny & geopolitical tension
With Saudi PIF in the mix and major cross-border considerations, antitrust regulators and political actors will closely scrutinize the acquisition. Going private doesnโt exempt EA from international regulatory review. - Debt burden & financing risk
The acquisition includes significant debt leverage. If macroeconomic conditions worsen, that may pressure EA to prioritize profits over creative risk. - Cultural and creative alignment
Merging investor goals with EAโs creative teamsโespecially around beloved franchises like Star Warsโrequires balance. Fans will watch whether content remains player-first or increasingly driven by revenue imperatives. - Transitional turbulence
Big structural changes often cause delays, shifting priorities, and reorganization. Projects already in progressโlike the upcoming Jedi gameโcould see scope changes, reprioritization, or slowdowns.
What Weโre Watching Next
Over the coming months and years, these questions will matter:
- Will the Star Wars Jedi final game get additional budget, polish, or delays under new ownership?
- Does EAโs role as Star Wars publisher shiftโpossibly partnering more with Disney, or branching into new formats (VR, streaming, live events)?
- How will EAโs internal culture respond? Will leadership change, and how will that affect studio autonomy?
- Will this deal spark more consolidation in the games industry? Big players watching this move may make comparable playbooks.
Final Thoughts
This $55 billion acquisition is a landmark momentโnot just for EA, but for the gaming industry at large. For the Star Wars side, itโs a high-stakes signal: the next decade may bring ambitious expansions, bold experimentation, or surprising pivots. Whether for better or for worse, the galaxy just got bigger.
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