September 30, 2025
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Jared Kushner: The Man Behind EA’s Record-Breaking $55 Billion Buyout
In a blockbuster business move that shook the video gaming world, Jared Kushner and his investment firm, Affinity Partners, teamed up with Saudi Arabia’s Public Investment Fund (PIF) and Silver Lake to take Electronic Arts (EA) private. This $55 billion deal marks the largest private equity buyout in history, creating waves across both financial and gaming markets. EA, the company behind hits like Madden NFL, The Sims, and Battlefield, has been a household name for decades. Now, with Kushner’s backing, the company is poised for a new era away from the scrutiny of public markets. In this article, we explore the people, strategy, and future implications of this historic buyout.
Who is Jared Kushner?
Many people know Jared Kushner as the former senior advisor to U.S. President Donald Trump. However, Kushner’s influence goes far beyond politics. After leaving the White House, he launched Affinity Partners, a private investment firm focused on global growth opportunities. Kushner’s interest in business is broad, ranging from real estate to emerging technology, but his latest move into gaming shows a personal passion as well as strategic insight.
Growing up, Kushner played EA games, and now enjoys them with his children. “I’ve admired EA’s ability to create iconic, lasting experiences,” he said. This personal connection plays a major role in why Affinity Partners joined the consortium to acquire EA. It’s not just a financial decision—it’s a blend of passion, strategy, and opportunity.
Key Takeaways About Kushner:
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Former White House advisor and Trump son-in-law
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CEO of Affinity Partners
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Investor in technology, entertainment, and real estate
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Lifelong gamer with personal interest in EA titles
The Origins and Growth of EA
Electronic Arts, founded in 1982 by William “Trip” Hawkins, has been at the forefront of the video game industry for over 40 years. From humble beginnings with analog sports games like Strat-O-Matic, EA evolved into a global powerhouse producing some of the most recognized titles in the world.
Famous EA Titles Include:
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Madden NFL: Popular American football franchise
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The Sims: Life simulation game
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Battlefield: First-person shooter series
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FIFA/EA Sports FC: Global soccer franchise
EA became a publicly traded company shortly after its founding, with shares trading at just $0.52 on a split-adjusted basis on its first day. Over the decades, EA grew into a $7–8 billion annual revenue giant, creating games that shaped generations.
Challenges Faced by EA:
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Workforce reductions (5% layoffs last year)
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Changing consumer habits post-COVID
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Competition from mobile and cloud gaming
How the $55 Billion EA Buyout Happened
The acquisition of EA by a consortium including Jared Kushner, Saudi Arabia’s Public Investment Fund (PIF), and Silver Lake is historic. Here’s how the deal came together:
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Affinity Partners (Kushner’s Firm): Brought strategic guidance and investor connections.
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Public Investment Fund (Saudi Arabia): Already a significant shareholder in EA (9.9%), adding more influence and funding.
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Silver Lake Partners: Experienced private equity firm in technology and entertainment sectors.
The consortium offered $210 per share, about 25% higher than EA’s stock before buyout rumors. This premium reflects confidence in EA’s future growth, particularly in gaming franchises and international expansion.
Key Facts:
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Largest leveraged buyout in video game history
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Deal expected to close in fiscal Q1 2027
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Regulatory approvals pending due to foreign investment
This transaction will remove EA from public trading, giving the company freedom to focus on innovation without market pressures.
Saudi Arabia’s Strategic Role
Saudi Arabia has become a major player in global gaming investments. Through its Public Investment Fund (PIF), the country has been expanding its portfolio since 2022. Investments include ESL, FACEIT, and Scopely. The EA deal aligns with Saudi Arabia’s broader vision to diversify its economy beyond oil and become a hub for technology and entertainment.
Why PIF Invests in Gaming:
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Diversifying investments beyond energy
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Targeting the $200+ billion global video game market
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Creating international influence in entertainment
By partnering with Kushner and Silver Lake, Saudi Arabia strengthens its presence in U.S. tech and entertainment sectors. The Savvy Gaming Group, the country’s gaming investment arm, aims to scale rapidly through acquisitions like EA.
Impact on Gamers and EA Sports
For gamers, the buyout could bring significant changes. EA is known for franchises like EA Sports FC 25, Madden NFL, and Battlefield. Going private provides opportunities and challenges.
Potential Benefits:
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Innovation without quarterly pressure
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Investment in next-gen gaming experiences
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Focus on storytelling and player engagement
Possible Challenges:
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Maintaining trust with loyal gamers
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Regulatory oversight due to foreign investment
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Balancing creative risks with financial leverage
For example, the upcoming release of Battlefield 6 could benefit from additional development resources and creative freedom, providing gamers a richer experience.
Financial Analysis of the Buyout
The $55 billion buyout isn’t just significant for EA; it reshapes the landscape of private equity. Here’s a breakdown:
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Shareholder Value: Shareholders receive $210 per share, a 25% premium.
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Private Equity Leverage: Funded by multiple investors, creating complex financial structures.
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Stock Impact: EA shares rose 5% after buyout news, showing investor optimism.
While some analysts argue that $210 per share undervalues EA’s potential, especially with live-service games and new releases, others see it as a balance of short-term certainty and long-term risk management.
Comparing EA with Other Big Gaming Deals
The EA acquisition is part of a growing trend of major buyouts in gaming:
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Activision Blizzard by Microsoft: Nearly $69 billion in 2023
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Smaller EA acquisitions: ESL, FACEIT, Scopely
Kushner’s involvement gives this deal unique political and strategic dimensions, distinguishing it from purely corporate acquisitions.
Jared Kushner’s Strategic Vision for EA
Kushner’s involvement is not only financial but strategic. With Affinity Partners, he combines capital, political insight, and global networks to drive growth.
Kushner’s Strategic Approach:
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Focus on long-term innovation rather than quarterly earnings
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Leverage international partnerships for global expansion
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Balance business growth with creative integrity
This approach could lead EA to explore mobile, cloud, and live-service gaming, ensuring franchises like Madden NFL and Battlefield continue evolving.
What the Future Holds for EA
Once private, EA has several priorities:
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Long-Term Innovation: Investing in new IP and technologies
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Global Expansion: Especially in Saudi Arabia and Asia
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Operational Flexibility: Less scrutiny from public markets
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Enhanced Gamer Experience: Improved gameplay, storytelling, and features
By removing quarterly earnings pressure, EA can focus on bold initiatives, like expanding cloud gaming, entering new markets, or developing virtual reality experiences.
Potential Market and Stock Impact
Going private has major implications:
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EA shares disappear from public markets
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Analysts and investors rely on private reporting
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Growth strategies focus on long-term potential rather than short-term stock performance
Investors watching Electronic Arts stock should note that while trading ends, EA’s market influence remains strong. The company’s annual revenue, $7–8 billion, remains attractive, especially with next-gen game releases.
Risks and Considerations
While promising, the EA buyout carries risks:
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Regulatory Approval: U.S. national security regulators must approve foreign involvement
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High Leverage: $55 billion deal involves substantial financing
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Market Changes: Competition from mobile and cloud gaming is intense
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Stakeholder Expectations: Balancing investors, employees, and gamers
Even with these risks, the buyout signals confidence in EA’s long-term potential.
FAQs About Jared Kushner and EA
Q1: Who is Jared Kushner and why is he investing in EA?
Jared Kushner, former senior advisor to Trump, leads Affinity Partners. He invested in EA due to personal passion and belief in the company’s long-term growth. The buyout gives EA resources and strategic guidance to innovate without public pressure.
Q2: How does going private affect EA gamers?
Gamers may see more creative freedom, new features, and better experiences in titles like Madden NFL and Battlefield. The company can invest in innovation without focusing on quarterly stock results.
Q3: When will the EA acquisition be finalized?
The deal is expected to close in the first quarter of fiscal year 2027, pending regulatory approval and shareholder consent. Until then, EA continues as a public company.
Conclusion
The Jared Kushner-backed acquisition of EA is historic, blending political influence, strategic vision, and financial power. With a $55 billion investment, EA will operate privately, focusing on innovation, global expansion, and delivering iconic gaming experiences. For gamers, investors, and the tech community, this deal marks a pivotal moment in the video game industry. Stay updated on EA, Jared Kushner, and gaming news as this transformative buyout shapes the future of interactive entertainment.
