Saudi Arabia’s PIF to complete $55 billion Electronic Arts takeover on August 4
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Saudi Arabia’s Public Investment Fund will complete its $55 billion acquisition of Electronic Arts on or about August 4, 2026, after all regulatory approvals were obtained. The deal will take EA private, leaving the video game publisher with $20 billion in debt. The takeover has already prompted departures of prominent Sims 4 content creators, who cited the Saudi kingdom’s values, while a former BioWare writer warned that politically sensitive content may be sidelined.
Regulatory Clearance
Electronic Arts filed a Form 8-K with the U.S. Securities and Exchange Commission on July 30 confirming that all required regulatory approvals have been obtained. The merger is expected to close on or about the close of trading on August 4, pending satisfaction of remaining customary conditions. Unlike the FTC’s contested battle over Microsoft’s Activision Blizzard deal, this acquisition involves a change in ownership rather than a merger of two game publishers, reducing antitrust concerns. The FTC, currently chaired by Trump appointee Andrew Ferguson, did not mount a legal challenge. Minority backers of the takeover include Affinity Partners, the investment firm of Jared Kushner, son-in-law of U.S. President Donald Trump.
Debt and Restructuring Risk
The $55 billion leveraged buyout will saddle EA with approximately $20 billion in debt, creating immediate pressure to cut costs. Industry analysts note that highly leveraged post-buyout companies often shed non-core assets to service debt. EA’s most reliable revenue generators are the Battlefield shooter franchise and the EA FC soccer series. Former BioWare lead writer Trick Weekes said “guns and football” games will likely be safe, but warned that “gay stuff” and other progressive content may be abandoned. The deal is the largest leveraged buyout in history.
Creator and Content Exodus
Several prominent Sims 4 content creators left EA’s creator network in 2025 in protest over the Saudi takeover. Streamer Lilsimsie wrote that “the values represented by the people acquiring EA are fundamentally at odds with what I stand for,” seen as a reference to Saudi Arabia’s repression of women and LGBTQ+ rights. Crown Prince Mohammed bin Salman, chair of PIF and de facto ruler, was assessed by U.S. intelligence to have approved the 2018 operation that killed journalist Jamal Khashoggi. Trick Weekes echoed fears that political themes in games would be curtailed under the new ownership.
What's Next
EA shares will be delisted after the transaction closes on August 4, and the company will operate under PIF direction. It remains unclear whether the $20 billion debt load will force massive layoffs or the cancellation of titles with progressive narratives, as some former developers predict.
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Saudi Arabia’s PIF to complete $55 billion Electronic Arts takeover on August 4
