At the beginning of 2026, the global gaming industry was hit by a century long merger and acquisition case - a consortium led by the Saudi Public Investment Fund (PIF) won the American gaming giant Electronic Arts (EA) for a sky high price of $55 billion. In late December, EA shareholders overwhelmingly approved the sale plan with 99% of the votes. Once the deal passes global regulatory approval, it will become one of the largest mergers and acquisitions in the history of the gaming industry, and also write a significant chapter in Saudi Arabia's layout of the interactive entertainment industry.

BioWare, DICE and other studios under its umbrella are representatives of the industry's top production forces, with a global workforce of over 12000 employees. In this acquisition, EA shareholders will receive a cash consideration of $210 per share, a 25% premium over the closing price before the announcement of the acquisition. As soon as the news came out, EA's stock price surged by 14.87% in a single day, indicating that the capital market is optimistic about this transaction.

After the transaction is completed, the Saudi Public Investment Fund will hold 93.4% of EA's shares, achieving absolute control over this gaming giant. EA will also be delisted from the public market and enter a private operation track. For Saudi Arabia, this is not a simple capital investment, but a key layout for promoting economic diversification and breaking away from dependence on the oil industry. The high growth potential of the interactive media field is in line with Saudi Arabia's strategic direction for future industrial development. For EA, the privatization model is expected to relieve the pressure of quarterly performance reports and focus more on long-term game development and the restart and upgrade of classic IPs.

Behind this massive merger, controversies have also arisen. EA's internal employee union has spoken out, expressing concerns that the $20 billion debt behind the acquisition will put pressure on the company to lay off employees and reduce costs in future operations, thereby affecting the stability of the creative team and the freedom of game development. At present, this transaction still needs to be reviewed by regulatory agencies in multiple countries and is expected to be delivered before June 2026. From oil giants to "new players" in the gaming industry, whether the entry of Saudi sovereign funds will reshape the competitive ecology of the global gaming industry or trigger a new game between capital and creativity will undoubtedly become a focus of attention for global players and practitioners.Editor/Bian Wenjun