American politicians are expressing concern that Electronic Arts’ recent acquisition could give foreign entities undue influence over a U.S. company.
The acquisition of Electronic Arts is a massive event for the gaming world this year, and one of the largest deals – potentially the biggest leveraged buyout – ever seen in the video game industry. Similar to the Activision Blizzard acquisition a few years back, not everyone is happy about it. Many players have already expressed concerns about whether Microsoft’s purchase will ultimately be successful.
Not money, but EA’s influence is a risk for the USA
U.S. Treasury Secretary Scott Bessent received a letter (reported by Games Radar) from Senators Richard Blumenthal and Elizabeth Warren. The senators expressed strong worries about possible foreign control and threats to national security if EA were to be bought out by another company.
The worry comes from Saudi Arabia’s role in the deal, specifically through its Public Investment Fund, which is poised to become the new owner of the publisher. This isn’t the first time the fund has invested in gaming; it already has stakes in companies such as Activision Blizzard.
Senators are concerned this deal is about more than just money; it’s about power and control. They note that Electronic Arts’ stock hasn’t grown in five years, and with the gaming market being so volatile, the large offer from the Public Investment Fund suggests they want to have a say in how the company is run.
As a fan, I’m really worried about this deal because of some serious potential risks. It all starts with the fact that the Public Investment Fund (PIF) is so closely tied to the Saudi government – it basically acts as their strategic tool. That connection raises a lot of red flags when it comes to foreign influence and our national security, and it’s something we really need to consider.
It’s clear Saudi Arabia wants to gain control over EA, and they’re willing to pay a hefty price to do so. Their offer is over $10 billion higher than EA’s current market value, even though the company’s stock hasn’t grown much in five years and the gaming industry is known for being unpredictable.
Big data with “unlimited access”
Some senators are also worried about Jared Kushner’s role, given his close relationship with former President Donald Trump – he is his son-in-law. They are questioning whether he’s involved simply to get the deal approved by the federal government.
Senators Blumenthal and Warren have highlighted the growing power of the gaming industry. They’re concerned that today’s games function similarly to social media platforms, potentially leading to the extensive collection of personal information and data about how Americans behave.
Senators are concerned that giving a government with a history of repression and strict control “unlimited access” – especially when combined with its expected heavy investment in artificial intelligence – poses a significant and difficult-to-manage risk. They’ve asked the Secretary of the Treasury to investigate these concerns, including reported contacts between a specific individual and Jared Kushner, and respond by November 4th.
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2025-10-16 16:03