EA has announced yet another round of layoffs, making it the third such wave within a single year. This news arises amid the final stages of a significant leveraged buyout by Saudi Arabia, valued at $55 billion, indicating major shifts within the gaming giant.
Details of the Layoffs
Multiple reports, including a detailed account from Kotaku, have indicated that employees across various departments, such as recruitment, customer support, trust and safety, and IT, have been affected. Many of those who lost their jobs have taken to social media to express their discontent and share personal stories, which lends credibility to these reports. These layoffs appear not only to impact those based in the United States but also employees working remotely from other locations worldwide. Inquiries sent to EA for an official statement have gone unanswered, leaving many in the gaming community wondering about the company’s future direction.
The Rise of AI in EA’s Strategy
As EA navigates these tumultuous staffing changes, it is also in the process of integrating artificial intelligence into its core operations. CEO Andrew Wilson stated in a recent interview that AI is “the very core of our business,” boasting over 100 AI projects currently in development. This move has been a common justification for job reductions across various industries, not just gaming. However, EA executive Laura Miele has argued that AI has stimulated a “real rise of creativity” within the publisher’s studios, suggesting a potential silver lining amidst the challenges of workforce transformation.
The Imminent Buyout and Its Implications
The looming buyout of EA by the Saudi Arabian Public Investment Fund is also a significant factor in the company’s current turmoil. If finalized, the fund will gain ownership of a staggering 93.4 percent of the company. Although regulatory approval is still pending from European authorities—who have set a July 23 deadline for their decision—many believe the deal will proceed with minimal resistance.
Economic and Ethical Concerns
If approved, this acquisition would mark the largest leveraged buyout in history. Announced initially in September 2025, the deal’s potential to go forward seems bolstered by the involvement of prominent figures such as Jared Kushner, son-in-law to former President Donald Trump. Despite expectations that the transaction may unfold smoothly, the deal has faced considerable opposition. Video game unions and various human rights organizations have raised concerns, launching petitions and organizing protests against the buyout.
As the situation continues to develop, questions remain about the future staffing landscape of EA and the company’s broader aims. With the combination of layoffs and the impending acquisition, the fate of both many employees and the company’s identity is in a state of significant uncertainty.