US Congress members name for ‘thorough evaluation’ of EA’s $55 billion sale

Earlier than Electronic Arts goes non-public in a groundbreaking sale, some US lawmakers are pleading for some federal oversight. Democratic members of the US Congress, as a part of the Congressional Labor Caucus, penned a letter asking the Federal Commerce Fee to “completely evaluation” the $55 billion acquisition of EA.

EA confirmed the sale to the Public Funding Fund, or the sovereign wealth fund of Saudi Arabia, Silver Lake and Affinity Companions in September, however the deal is anticipated to shut within the first quarter of 2027. Earlier than the official change of possession, the 46 Home Democrats who signed the letter to the FTC are calling for extra scrutiny into the impacts of the deal.

The letter famous a number of the most consequential results, together with the worsening of an unstable business, the potential for extra layoffs and elevated market dominance for EA. “We respectfully urge the Fee to conduct an intensive investigation into the labor market penalties of this proposed acquisition, together with EA’s current wage-setting energy, the chance of post-transaction layoffs, the diploma of labor-market focus in related geographic and occupational markets, and the position of cross-ownership in shaping labor outcomes,” the letter learn.

The letter already earned help from the Communications Staff of America union, who additionally supported a petition from the United Video Games union. As noticed by Eurogamer, the petition calls on regulators and elected officers to “scrutinize this deal and be sure that any path ahead protects jobs and preserves artistic freedom.”