EA Acquired for $55B: Saudi Fund-Led Consortium Plans AI-Driven Cost Cuts
Electronic Arts (EA) is set to be acquired for $55 billion by a consortium led by the Saudi Arabian Public Investment Fund (PIF), Silver Lake, and Affinity Partners, the investment firm of Jared Kushner. The deal will see EA take on $20 billion of debt, sparking concerns among employees about potential layoffs and the impact of AI on job roles.
The consortium plans to implement AI-based cost savings to manage EA's new debt load and boost profits. EA's CEO has previously praised AI as central to the company's creative journey. However, there are worries that AI implementation could lead to job losses, potentially affecting creative processes within the company.
EA employees are concerned about the potential impact of the acquisition and the planned use of AI. The company's new debt load has raised fears about layoffs, with investors aiming to cut costs and boost profits through AI-driven measures.
EA's acquisition for $55 billion is expected to close in the coming months, with the consortium planning significant changes to manage the company's new debt load. The impact of AI on job roles and creative processes within the company remains a key concern for employees as the deal progresses.
