European Commission Approves EA’s $55B Saudi PIF-Led Sale

The European Commission has formally approved the proposed sale of Electronic Arts (EA) to an investor group led by Saudi Arabia’s Public Investment Fund (PIF), clearing a key regulatory step in the deal’s move toward closing. The transaction is valued at $55 billion and is structured as a leveraged buyout, meaning it comes with substantial new debt tied to the acquisition.

European approval clears a major regulatory hurdle

On July 23, the European Commission announced that it approved the merger after concluding it does not raise competition concerns. This approval was widely expected, and it marks a significant milestone in the process toward finalizing the purchase.

The deal is expected to be finalized at a later date, and major operational changes are not expected to be announced until the transaction formally closes.

$55 billion leveraged buyout raises pressure on EA

The acquisition is a $55 billion leveraged buyout (LBO). Because the structure relies on borrowing, the purchase is associated with billions in debt for EA—an outcome that has fueled expectations that the company may pursue aggressive cost reductions to manage repayments.

Industry watchers have pointed to the possibility of major restructuring, including mass layoffs, studio closures, and cancelled projects, though no specific changes have been confirmed.

BioWare may be among the first targets for cuts

Separate reporting has suggested BioWare could be one of the first internal teams affected by any new cost-cutting program after the ownership change. The claims cite multiple anonymous sources inside BioWare who believe the studio may see cuts early under the new structure.

One current BioWare developer described preparing for other work while keeping options open, framing it as something that could happen “a matter of time.”

Concerns raised over creative direction

Former BioWare writer Patrick Weekes—who was laid off in 2025—previously speculated that EA’s new owners, including the PIF, might seek to avoid themes that conflict with the leadership’s views. Weekes suggested that, if the deal went through, BioWare could be closed or otherwise removed to avoid those concerns.

Who’s backing the purchase

In addition to the PIF, the transaction includes private equity firm Silver Lake and Affinity Partners, backed by Jared Kushner. EA had previously acknowledged that selling itself involved risks, but said it was still moving forward with the process.