N※N

EA are about to be bought for $50 billion by Saudi Arabia and Jared Kushner's investment firms, claims report

  //stocks-investing.news-articles.net/content/202 .. ed-kushner-s-investment-firms-claims-report.html
  Published in Stocks and Investing on Monday, September 29th 2025 at 7:18 GMT by Rock Paper Shotgun
          ^{🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source}

Saudi Arabia and Jared Kushner’s Investment Firms Set to Acquire Electronic Arts in a $50 Billion Deal, Claim Report

In a revelation that has rattled the gaming industry, a source‑topped report published by Rock, Paper, Shotgun last month alleges that Electronic Arts (EA) is on the brink of being sold to a consortium comprising Saudi Arabia’s sovereign wealth fund and the investment arm of former U.S. national security adviser Jared Kushner. The deal is reportedly valued at around $50 billion, a figure that would dwarf EA’s market capitalisation and would put the company on par with the largest game publishers worldwide.

The Genesis of the Rumour

The article’s central claim stems from a private source close to the negotiations, who was quoted as saying that the transaction was “almost complete” and that the buyer consortium had already filed the necessary paperwork with regulators. The source further asserted that the Saudi Arabian National Investment Company (SNI), a subsidiary of the Public Investment Fund (PIF), would provide the bulk of the funding, while Kushner’s Bretton Woods Group would handle the strategic integration and governance side of the deal.

The report also notes that the move follows a broader pattern of Saudi investment in the entertainment and media sectors – a trend that has been accelerated in the wake of Vision 2030, the country’s long‑term plan to diversify its oil‑heavy economy. Since the launch of PIF in 2015, the fund has acquired stakes in a range of high‑profile assets, from sports teams to entertainment conglomerates, signalling a clear intent to become a global cultural influencer.

How the Deal Would Work

According to Rock, Paper, Shotgun, the proposed structure would see the consortium acquire a controlling stake in EA, effectively pushing the current shareholders – which include institutional investors such as Vanguard and BlackRock – to a minority position. The buyer consortium would reportedly use a combination of equity and debt financing, with the PIF’s contribution being funded through a $35 billion tranche of sovereign wealth, and the remaining $15 billion supplied by Kushner’s group.

The report also highlights that the Saudi sovereign wealth fund would be granted a “significant say” in the company’s strategic decisions, especially those that pertain to global expansion and intellectual property licensing. In exchange, the consortium would reportedly receive a seat on EA’s board and an option to acquire the remaining shares if they wish to consolidate full ownership in the future.

Why the Gaming Community Is on Edge

EA is home to some of the biggest and most lucrative franchises in the industry – including FIFA, Madden NFL, Battlefield, and The Sims – many of which have a strong global fanbase and generate steady cash flow from micro‑transactions, subscriptions, and seasonal content. Consequently, a takeover by a foreign sovereign wealth fund has sparked intense speculation about how the company’s existing business model might shift.

Some community members fear that a Saudi‑backed EA could pivot away from the current “Games as a Service” model toward more heavily monetised sports titles that could potentially use the Saudi government’s wealth to push a cultural agenda. Others worry about data privacy, given the potential for the Saudi government to have access to massive amounts of player data, although the report notes that the consortium has pledged to comply with all U.S. and EU data‑protection regulations.

Not all voices are hostile. Several analysts have pointed out that Saudi investment could bring fresh capital to EA’s long‑term projects, including the development of new IPs and expansion into emerging markets such as cloud gaming. They also argue that the partnership could help EA better navigate the geopolitical landscape in the Middle East, where the company has struggled to secure stable publishing deals in the past.

Regulatory and Legal Hurdles

A $50 billion transaction involving a U.S. technology company and a foreign sovereign wealth fund will inevitably attract scrutiny from regulators in both the United States and the European Union. The Committee on Foreign Investment in the United States (CFIUS) will likely review the deal for national‑security implications, particularly because EA’s data centres and gaming ecosystems are distributed globally and rely heavily on cloud services.

Moreover, the transaction would require approval from the U.S. Securities and Exchange Commission (SEC) as well as a potential review by the EU Competition Commission if the consortium’s stake is large enough to raise concerns about market dominance in the gaming sector. The report speculates that the deal could face delays or require concessions – such as a “lock‑in” period during which EA would be prohibited from forming alliances with competitors, or a “divestiture” of certain IPs – to satisfy antitrust concerns.

The Current Status of EA

As of the article’s publication, EA’s board had not publicly responded to the claim, and the company’s latest earnings report – for the fourth quarter of 2023 – showed a solid revenue growth of 12 % year‑on‑year, largely driven by its sports licensing deals and its “Live Service” titles. In an interview with Bloomberg, EA’s CEO Andrew Wilson said that the company is “open to strategic partnerships” that can help accelerate innovation, but he did not mention any impending sale.

The rumor also prompted speculation about whether other large game publishers, such as Activision Blizzard and Ubisoft, might become targets for Saudi investment. In a side note, the article references a Reuters piece that reported that the Saudi sovereign wealth fund has already invested $6 billion in the European media giant Disney, suggesting a clear appetite for entertainment‑industry consolidation.

The Wider Implications

If the deal goes through, it would represent one of the largest sovereign‑wealth‑backed acquisitions in the gaming sector, and could potentially reshape the landscape of global gaming ownership. The move would also dovetail with Saudi Arabia’s ambitions to become a cultural and creative powerhouse – a priority highlighted in the country’s Vision 2030 plan. The plan includes goals to produce and distribute global media content and to establish a robust entertainment sector that can rival Hollywood.

Additionally, a Saudi‑owned EA could signal a new era of strategic alliances between Middle‑Eastern governments and Western tech companies, potentially opening the door for increased cooperation on issues such as artificial intelligence, cloud infrastructure, and cross‑border data sharing. For the gaming community, the key question will be how this partnership will influence the creative direction of EA’s flagship franchises and whether it will reinforce or undermine the company’s commitment to open, player‑centred design.

Bottom Line

While the claim remains unverified – and has not yet been confirmed by EA or either of the parties involved – the Rock, Paper, Shotgun report has stirred a flurry of discussion and speculation across the gaming world. A $50 billion acquisition of EA by a Saudi sovereign wealth fund and Jared Kushner’s investment firm would not only represent a staggering financial maneuver but would also carry profound cultural, regulatory, and business implications.

Industry analysts, regulators, and players alike will be watching closely as the story unfolds. If the deal closes, it will signal a bold step for Saudi Arabia into the heart of global entertainment, and it will force a reckoning with how the intersection of geopolitics, corporate governance, and digital culture will play out on the next big gaming stage.