EA shares soared amid false rumors about Amazon acquisition


Over the past few years, there have been massive acquisitions of video game companies, some of the largest of which are Microsoft’s successful acquisition of Bethesda and its studios, as well as the expected acquisition of Activision Blizzard. It has long been rumored that the giant that produces video games, Electronic Arts, will be next in line: Microsoft, Sony or even Disney are interested in acquiring it. However, recent rumors suggest that Amazon was interested in acquiring the company, although at the moment it is unclear exactly what is going on.

Early in the morning on August 26, USA Today published a report stating that Amazon was going to announce its intention to acquire Electronic Arts today, as a result of which EA’s share price rose by 6.2% and reached a pre-market peak of $ 146.76. However, CNBC later stated that this was not the case, and the stock price began to fall. Neither Amazon nor EA have commented on the situation at the time of writing this article.

In any case, if the deal ever goes through, Amazon’s acquisition of EA will be one of the largest acquisitions in history with potentially huge implications for the entire entertainment industry. Such an acquisition will certainly strengthen Amazon’s position in the video game industry, allowing the company to enter the console games market in a way it has never managed before. In addition, Amazon will suddenly have access to a huge library of EA IP addresses, which can make a big difference outside of the gaming space.

Amazon is one of the world’s largest streaming giants, and Amazon Prime Video is available to those who have subscribed to the company’s Prime subscription service. Amazon has aggressively supported Prime Video with original content, releasing hits such as “The Boys,” “The Amazing Mrs. Meisel,” and most recently the critically acclaimed TV adaptation “Their Own League.” On September 1, Amazon Prime Video will release the premiere episode of The Lord of the Rings: Rings of Power, which is considered one of the most expensive TV series ever created.

Amazon’s acquisition of EA would give the company much more material for potential TV shows or movies, among the main candidates such as Dead Space, Dragon Age and Mass Effect. So even though these rumors turned out to be inaccurate, it looks like buying Amazon’s EA could potentially be a smart move for the company in the long run.

If Amazon ever acquires EA, it will just be the online retail giant’s latest acquisition. Earlier this year, Amazon acquired MGM Studios, and a few years ago acquired the streaming service Twitch, with the latest acquisition having an immeasurable impact on the industry. It is likely that the purchase of EA by Amazon will cause similar upheavals throughout the gaming world, although it is unclear whether this will ever actually happen.


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