US Lawmakers Urge FTC Review of EA's $55 Billion Sale Amid Concerns Over Job Losses and Industry Stability
A group of 46 Democratic US Congress members, as part of the Congressional Labor Caucus, has written to the Federal Trade Commission (FTC) urging a "thorough review" of Electronic Arts' planned sale to Saudi Arabia-backed sovereign wealth fund Public Investment Fund, Silver Lake, and Affinity Partners. The $55 billion acquisition is expected to close in early 2027.
The lawmakers are concerned that the deal could have severe consequences for the gaming industry, including increased layoffs and reduced market competition. In a letter to the FTC, they requested an investigation into the labor market impacts of the sale, citing EA's existing power to set wages, the likelihood of post-transaction job losses, and the concentration of labor markets in specific geographic and occupational areas.
The concerns echoed by lawmakers are shared by unions representing video game workers. The Communications Workers of America (CWA) and United Video Games union have both expressed support for the petition, calling on regulators and elected officials to scrutinize the deal and protect jobs while preserving creative freedom.
As the acquisition nears completion, lawmakers are seeking additional oversight to ensure that the sale does not harm vulnerable workers or undermine industry stability. The FTC has yet to respond to the lawmakers' request, but their letter highlights the growing unease among lawmakers over the potential consequences of this massive deal.
A group of 46 Democratic US Congress members, as part of the Congressional Labor Caucus, has written to the Federal Trade Commission (FTC) urging a "thorough review" of Electronic Arts' planned sale to Saudi Arabia-backed sovereign wealth fund Public Investment Fund, Silver Lake, and Affinity Partners. The $55 billion acquisition is expected to close in early 2027.
The lawmakers are concerned that the deal could have severe consequences for the gaming industry, including increased layoffs and reduced market competition. In a letter to the FTC, they requested an investigation into the labor market impacts of the sale, citing EA's existing power to set wages, the likelihood of post-transaction job losses, and the concentration of labor markets in specific geographic and occupational areas.
The concerns echoed by lawmakers are shared by unions representing video game workers. The Communications Workers of America (CWA) and United Video Games union have both expressed support for the petition, calling on regulators and elected officials to scrutinize the deal and protect jobs while preserving creative freedom.
As the acquisition nears completion, lawmakers are seeking additional oversight to ensure that the sale does not harm vulnerable workers or undermine industry stability. The FTC has yet to respond to the lawmakers' request, but their letter highlights the growing unease among lawmakers over the potential consequences of this massive deal.