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EA CEO Responds To Acquisition Rumors: ‘We Couldn’t Be in a Stronger Position As a Standalone Company’

With the finalization of Activision-Blizzard’s acquisition by Microsoft imminent, EA is on the cusp of taking its place as the biggest main standalone developer and writer within the business. Which in fact has sparked loads of questions on whether or not or not EA itself may at some point be acquired.

A type of rumors cropped up final Might in a Puck report that exposed EA had been approached by Comcast CEO Brian Roberts a few potential acquisition — however it fell aside attributable to disagreements over worth and construction.

Although EA has repeatedly declined to touch upon “rumors and hypothesis,” CEO Andrew Wilson did reply a query as regards to acquisitions throughout at this time’s Q1 earnings name, reiterating that he did not suppose the writer may “be in a stronger place as a standalone firm.”

Activision Blizzard Deal In comparison with Different Main Acquisitions

“Our…goal is at all times to maintain our folks, our gamers, and our shareholders,” he continued. “Ought to there ever be a method for us to do this in a different way than the best way we’re doing it at this time, I in fact must be open to that, however I might let you know at this time we really feel very very assured and excited for our future.”

It was certainly a profitable quarter for EA, with F1 22 gross sales up double-digits in comparison with F1 final yr, and total web income of $1.78 billion (up from $1.55 billion year-over-year) largely pushed by dwell service video games — which now characterize over 70% of its enterprise for the final 12 months. And in contrast to plenty of its fellows, it would not appear to have been overly impacted by delays (or no less than not a pile of public-facing ones). The truth is, its subsequent three quarters are trying pretty promising between the Useless House remake, all the same old sports activities video games, Tremendous Mega Baseball, and two different unannounced video games coming in early 2023.

It is price noting, nonetheless, that that is the type of boilerplate assertion that just about each CEO has made relating to acquisitions of late. Ubisoft has mentioned as a lot, and so has Take-Two. Statements like this when confronted with acquisition questions are fairly normal, as they each preserve the CEO from really mendacity if an acquisition is being mentioned, but in addition do not invite an excessive amount of hypothesis given the quite a few authorized and enterprise explanation why executives cannot verify or deny till the deal is sort of sealed.

What’s extra, firms like EA are continuously discussing acquisitions, each by way of what they may need to purchase, and whether or not or not they could possibly be acquired. Conversations occur a number of instances a yr; they only normally fall by way of as a result of the 2 sides most of the time cannot totally agree on a deal that works for them each.

Will EA at some point be acquired? Possibly, perhaps not. What’s sure is that it’s going to seemingly proceed to be approached with affords whereas additionally making affords of its personal, and with Activision-Blizzard snapped up, EA is in among the finest positions within the business to both refuse offers, or minimize a particularly profitable one.

Rebekah Valentine is a information reporter for IGN. You’ll find her on Twitter @duckvalentine.

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