Do EA Buyout Talks Hint at Bigger Industry Troubles?

Why is Electronic Arts, one of the biggest names in the video game business, reportedly considering going private?

According to reporting by Bloomberg’s Jason Schreier, the move reflects broader consolidation trends in the gaming industry. While the 2010s and pandemic years fueled rapid growth, more recent patterns show players sticking with long-standing favourites rather than flocking to new titles.

That shift is evident in EA’s latest numbers. For fiscal year 2025, a striking 75% of EA’s revenue came from live services rather than new game purchases. This aligns with the industry-wide transition toward ongoing revenue models.

Nicholas Lovell, analyst and co-founder of Spilt Milk Studios, told Schreier: “We’re moving away from an era of breaking new ideas to people settling into the same games, spending money over and over again.”

If that’s the case, EA’s leadership may view the company’s rumoured $50 billion buyout valuation as the peak moment to exit public markets — before industry valuations begin to cool, even as profits continue to climb.