Battlefield, The Sims, and Dragon Age owner EA is set to be acquired in a $55 billion deal, and although the buyout is being partially financed by the company going $20 billion in debt, investors are apparently hoping that AI will be able to reduce its operating costs to help manage said debt.
That’s according to a report from The Financial Times, which writes that, according to individuals involved with the transaction itself, investors are banking on AI-powered cost savings boosting EA’s profits going forward.
What is unclear is the extent to which AI will be used and for what specific purposes. It’s not stated, for example, that the technology would be heavily relied on during game development, which would arguably be the most worrying outcome for multiple reasons. Beyond environmental concerns – and the fear that soulless technology could replace genuine human creativity – there’s also the question of whether employing AI could lead to real people losing their jobs.
We know that EA has previously been quite optimistic about the use of AI, too. It was only last year that CEO Andrew Wilson stated that “AI in its different forms has always been central to this creative journey,” before adding: “We all remember playing against the AI. And it has evolved into today’s innovations in generative AI. This remarkable technology is not merely a buzzword for us – it’s the very core of our business.”
Concerns had already been raised by those reacting to the acquisition news about potential layoffs at EA, given that the company is taking on significant debt. Some have also been wondering what impact this could have on fan-favorite games, with Mass Effect fans fearful for the series’ future (although at the time of writing, nothing has been said that confirms any franchises are being left in the dust).
For now, all we can do is sit and wait. The deal is currently expected to close in the first quarter of FY27, “subject to customary closing conditions, including receipt of required regulatory approvals and approval by EA stockholders,” the company adds.
In a message sent to employees, CEO Wilson insists that “with continued rigor and operational excellence, we can amplify the creativity of our teams, accelerate innovation, and pursue transformative opportunities that position EA to lead the future of entertainment. Together, we’ll create experiences that are bold, expressive, and deeply connected to inspire generations of players around the world.”