Is EA Up For Sale?

According to the New York Post, EA may be "quietly exploring" the idea of selling the company.

Sources told the publication that private-equity companies KKR and Providence Equity Partners have approached EA about possibly selling up, but it's early days at the moment.

EA's share price has dropped rather substantially over the past few years. Despite the fact it's leading the way in terms of digital growth — compared to other big publishers — the stunted growth at retail has some investors losing faith.

It's also worth noting that Vivendi, earlier this year, also looked into offloading its 61% share in Activision Blizzard.

I find it interesting, since it was always my impression that EA was the best positioned publisher in terms of transitioning towards digital. The sale, of course, doesn't necessarily signal disaster for EA, but it is becoming increasingly clear that almost all of the traditionally major publishers are doing it tough at the minute.

Videogame maker EA attracting PE interest [New York Post]


Comments

    I can't stand the idea of such an asshole of a company being taken over by an even bigger asshole.

      This. Let's face it, if you have enough money to buy EA, you probably don't give two shits about the games they make, and only want to make more money.

    On the upside, if there is another video game crash and the big publishers crumble under their own bloat, there's a hell of a lot of smaller publishers and indie developers who will flourish without the big names hogging the spotlight.

    Means absolutely nothing, can just be a simple move by management to get others to value their business for them, including goodwill.

    Lets face it, EA has been killing itself for years. Profits before quality titles. Much of their franchise games are same old **it with a new sticker. Plus it would help if they sold their games at respectable prices rather then selling at RRP of $99.95 - $109.95 on PSN for example.

    Time to get a Kickstarter going, I think.

    Just let the company die off, along with the other mega publishers. If they continue, then we're going to see more & more ripoff DLC, paid subscriptions for dedicated publishers, and sequel after sequel.

    This is why I support pirating, because the industry does not deserve our cash in my opinion.

      I know how you feel. I hate the tax on alcohol, so I just rob bottle-os whenever I want some. The other day my car was low on fuel, so I just swung past a car park and stole someone else's car. Everyone should be doing this!

    I would say EA isn't doing much. Companies do this a fair bit, I would say that it's part of thier business process and also for the directors to see how much they can get if they were to sell. Nothing really to see here I would guess but business as normal

    I like EA, I like their games. If you don't like them don't play them. End of bitch session.

      There's a legitimate reason why gamers despise EA, one of which is the fact that they buy out franchise studios... thus inevitably mutates the developers rhythm of game design. The games turn out to be shit, the perfect example is Bioware. They constrict the developers from expanding into new innovative original ideas because publishers do not like taking risks. Risks mean risking money and they don't have the resources to do that.

      This is why the indie game movement is exploding because people are now able to make their own shit without a mega publisher breathing down their neck. If gaming is to advance, then indie developing needs to keep growing or else we'll keep seeing sequel after sequel, with ripoff DLC and overall shitty quality.

        I will say this, the AAA studios don't need to sell out to EA or other companies. They can continue to do what they do best and then sell it to publishers. Id did that for a long time but they did sell out and wasn't Rage crap

        I'd love to read the source material you're referencing.

      And this is exactly what I'm doing. Not playing their games. I can only hope enough people follow me and EA explodes spectacularly like the death star.

    No-one's going to buy EA in 2012. Not when EA 2013 is just around the corner, with plenty of roster updates!

    They dropped nearly 4 billion in one financial year, they are most certainly looking to sell. Maybe they can sell it to some Chinese company. Could throw Facebook in the deal to sweeten up the deal. 2 massive fails for the price of one.

    so, the rumor about Nexon + NCSoft working together to buy EA is possibly more than just rumor then?

    isnt this the company that made online passes exist?

      No, Gamestop/EB [and a lot of other retailers] made online passes exist through being douchebags in how they handle used game sales.

      While I am all for sticking up against shitty policies, I don't like it when people take a one sided view. Let's take a moment to look at used game sales [by retailers] from a developers/publishers view.
      They have made a game, which is being sold to a customer who gets exactly the same product had it been a "new" game, the retailer gets money, but they do not.
      When you look at it from the developer/publisher, used game "retailing" is the same effect as piracy, except the retailers are making money out of it.

      When you buy a game [or any software], you are not buying a physical product, you are buying the software itself. Used software is identical to new software. So yes, they have the right to want to get some money out of these sales.
      Also, the online passes aren't really designed as a way to nickle-and-dime us, they are meant to discourage us from buying used games. Retailers sell a "used" copy for only $10 off the full price, yet make back double the profit on each item. Thats pretty damn poor business ethics if you ask me.

    More Kickstarters and pay2win indie retro auto-generated chip tune games with 2 month development cycles?

    >SOUNDS GREAT!

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