Electronic Arts recently announced a massive $55 billion deal to transition into private ownership. This significant acquisition involves Saudi Arabia’s Public Investment Fund (PIF), Jared Kushner’s Affinity Partners, and the private equity firm Silver Lake. While the long-term implications for EA and the broader gaming industry remain unclear, the deal has quickly drawn serious attention from two prominent US Senators, who are now voicing concerns about the potential for foreign influence by Saudi Arabia over the video game giant.
Senators Richard Blumenthal and Elizabeth Warren, both Democrats, have taken direct action by sending a letter to EA CEO Andrew Wilson and Department of Treasury Secretary Scott Bessent. Their primary concern centers on whether Saudi Arabia’s involvement could compromise EA’s editorial independence should the deal proceed. Furthermore, reports indicate that the senators have suggested that Saudi ownership of EA could even pose a national security risk to the United States.
The senators emphasized their concerns in their letter, stating that the deal “has the potential to expand and strengthen Saudi foreign influence in the United States.” They also highlighted significant national security risks, specifically mentioning the Saudi government’s potential access to and unchecked influence over sensitive personal data from millions of EA users, the development of artificial intelligence (AI) technologies within the company, and control over EA’s product design and strategic direction.
This isn’t Saudi Arabia’s first foray into the gaming world. The Kingdom’s Public Investment Fund has made substantial investments in various video game companies, notably including Nintendo. Additionally, Saudi Arabia has secured a 12-year agreement with the International Olympic Committee to host future Olympic Esports events. However, these investments come amidst a backdrop of severe accusations against Saudi Arabia, including numerous human rights violations and the 2018 assassination of journalist Jamal Khashoggi. Critics often view these high-profile investments in gaming and other sectors as an attempt by the country to improve its international reputation.