These buyouts usually end up being done by dropping the buyout amount into the company as debt. So EA now has $55B in debt to pay off. Time for more layoffs!
This is exactly why Microsoft has been laying people off left and right. They went on a spending spree to buy studios, including $75B for Activision Blizzard, and within like two years started closing studios because they had a giant debt on paper
My guess is they’re going to throw out everything that isn’t Battlefield, the Sims, or their sports cash cows. Those are their money makers and they can focus on just recycling them every year and print money. Low effort, maximum profit, just like their other industry, oil.
Seems like private game studios are generally better, but who am I kidding, this is EA we are talking about.
Yeah, normally I would celebrate this sort of decision, if it wasn’t for:
Is $55bn low or high?
These buyouts usually end up being done by dropping the buyout amount into the company as debt. So EA now has $55B in debt to pay off. Time for more layoffs!
This is exactly why Microsoft has been laying people off left and right. They went on a spending spree to buy studios, including $75B for Activision Blizzard, and within like two years started closing studios because they had a giant debt on paper
My guess is they’re going to throw out everything that isn’t Battlefield, the Sims, or their sports cash cows. Those are their money makers and they can focus on just recycling them every year and print money. Low effort, maximum profit, just like their other industry, oil.
Maybe they can stop acquiring good studios and turning them into shit.