Electronic Arts has completed its $55 billion sale to Saudi Arabia and a consortium of investors that includes Jared Kushner, Donald Trump’s son-in-law. With the transaction closed, the publisher is now preparing to restructure while servicing the substantial debt created by the deal.
That restructuring could bring a major wave of job losses. EA has reportedly told debt investors that it is targeting up to $700 million in annual savings, including $170 million described as “organizational efficiencies” in reporting from Bloomberg. In this context, the phrase is widely understood to signal reductions in staffing and other operating costs.
EA’s broad portfolio faces tougher scrutiny
The publisher controls a large collection of studios and franchises. Its biggest properties include annual sports releases such as EA Sports FC and College Football, alongside The Sims and Battlefield.
EA also owns BioWare, the role-playing game developer currently working on the next Mass Effect following the underperformance of Dragon Age: The Veilguard. BioWare’s single-player role-playing games do not naturally fit the large-scale live-service model that has become central to many major publishers’ strategies.
For readers following the wider arcade industry news, EA’s situation reflects a broader publishing trend: concentrating investment on major franchises and reducing exposure to projects viewed as less predictable.
Criterion’s racing heritage takes a back seat
Criterion Games once helped define EA’s racing output through the Burnout and Need for Speed series. The studio has now been redirected exclusively towards supporting Battlefield, removing it from its former role as a dedicated racing developer.
Rebecka Coutaz, vice president and general manager of Battlefield Studios Europe, described that direction during the studio’s 30th anniversary, as said on the studio’s 30th anniversary: “We’re not here to talk about the past. We are solely focused on Battlefield.”
The shift is a notable change for a team associated with arcade-style driving games. It also highlights how publisher priorities can reshape entire development groups, even when their previous expertise lies elsewhere. Fans comparing modern driving experiences can explore RETROCADE’s racing simulators for a different kind of dedicated racing setup.
Outsourcing and AI are part of the savings plan
EA has also been moving support functions, including customer service, towards less expensive overseas providers and increasingly towards artificial intelligence. The company has promoted AI’s potential to change how it operates, while maintaining that automatically generated, low-quality material will not appear in its finished games.
For studios and players alike, the unresolved question is how far those efficiency measures will extend. The $170 million organisational target sits within the broader $700 million annual savings goal, leaving staff across EA’s publishing and support network facing continued uncertainty.
Executive compensation draws attention
While employees confront the possibility of widespread redundancies, chief executive Andrew Wilson is set to receive a substantial payment. EA’s final Securities and Exchange Commission filing before the company became private pointed to a $77 million payout for the most recent fiscal year—twice the figure previously reported.
The contrast between executive compensation and a proposed cost-cutting programme of this scale is likely to intensify scrutiny as EA begins operating under its new ownership structure. For anyone weighing a dedicated home setup while following the changing games business, RETROCADE’s arcade machine buying guide offers practical advice on choosing the right cabinet.
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