Key Takeaways
- EA’s $55 billion acquisition was backed by Saudi Arabia’s sovereign wealth fund.
- Union workers represented by United Videogame Workers and the CWA have launched a formal petition opposing the deal.
- The petition argues the buyout concentrates wealth and ignores worker and player interests.
- EA’s unions fear studio closures and job cuts as the company faces $20 billion in new debt.
- EA and its investors, including Jared Kushner’s Affinity Partners, defend the acquisition as a sign of “recognition and growth.”
Unions Push Back Against EA’s $55 Billion Acquisition
Unionized workers at Electronic Arts (EA) are pushing back against the publisher’s recent $55 billion private acquisition, funded in part by Saudi Arabia’s Public Investment Fund. The Communications Workers of America (CWA) and United Videogame Workers (UVW) have released a formal petition condemning the deal, warning that it threatens both employees and players.
The CWA argues that the acquisition will “further concentrate power and wealth into the hands of a few gatekeepers while doing nothing to address the concerns of players and workers.”
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Workers Cite Profitability, Not Necessity
The unions emphasize that EA is a profitable company that didn’t need to be sold. The petition highlights EA’s $7.5 billion in annual revenue and $1 billion in profit, crediting those achievements to “the tens of thousands of workers whose talent and effort made EA worth buying in the first place.”
However, union leaders allege that workers were excluded from discussions surrounding the deal. They warn that the publisher’s new $20 billion debt load could lead to layoffs or studio closures as executives look to appease investors.
The United Videogame Workers CWA stressed that any job cuts or downsizing would be a deliberate choice, not an unavoidable outcome:
“If jobs are lost or studios are closed due to this deal, that would be a choice, not a necessity, made to pad investors’ pockets — not to strengthen the company.”
EA and Investors Defend the Deal
In contrast, EA executives have framed the acquisition as a strategic milestone. The company described it as a moment of “powerful recognition” of EA’s accomplishments and potential for growth. Jared Kushner, CEO of Affinity Partners — one of the private equity firms involved — publicly celebrated the acquisition, saying he “couldn’t be more excited about what’s ahead.”
Conclusion
The growing tension between EA’s workforce and its new ownership highlights an ongoing industry debate over corporate consolidation, worker rights, and ethical investment sources. As the CWA and UVW push for accountability, the next few months will determine whether EA’s historic buyout ushers in a new era of prosperity — or signals deeper challenges for the gaming giant’s workforce and creative future.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of GameDegen.com. Before making any investment decisions, you should always conduct your own research. GameDegen.com is not responsible for any financial losses.
