US legislators have urged the Federal Trade Commission to conduct an in-depth review of the $55 billion EA deal, expressing concerns about the possible adverse effects on the workforce
The Congressional Labor Caucus in the U.S. has reached out to the Federal Trade Commission (FTC) to express reservations about Electronic Arts' proposed $55 billion acquisition, which is spearheaded by the Saudi Arabian Public Investment Fund (PIF).
A letter addressed to FTC Chair Andrew Ferguson, observed by Aftermath, calls for a thorough review of the deal by the commission. Signed by 46 Democratic members of the House and supported by the Communications Workers of America union, the letter highlights evident concerns within the U.S. video game industry's workforce.
The Caucus' main issues center on potential repercussions for employees, particularly because the acquisition includes $20 billion financed through debt. This raises the likelihood of cost-cutting measures, including potential layoffs, offshoring, or studio closures.
Additionally, more than 1,700 jobs have been cut by EA in the U.S. since 2023, adding to concerns about the acquisition's impact.
The Labor Caucus is worried about EA's dominant position in labor markets due to connections with entities like Silver Lake, which has ties to WME, a talent agency, and TKO Group Holdings, a sports giant. The PIF's ownership of LIV Golf also contributes to these concerns.
The 2023 FTC Merger Guidelines highlight that transactions affecting workers' wages or allowing dominant companies to reduce labor demand could breach antitrust principles. The Caucus suggests this might apply to EA's acquisition.
The Caucus emphasized the need for a comprehensive investigation into the implications for the labor market, including EA’s influence on wage-setting and the potential for increased market concentration post-acquisition. Ensuring a competitive space where workers' talents are acknowledged is paramount.
In September 2025, EA acknowledged that the PIF, private equity group Silver Lake, and investment firm Affinity Partners were moving forward with an acquisition valued at $55 billion. If completed, PIF would control over 93.4% of EA, as reported by GamesIndustry.biz.
The acquisition has already secured approval from EA’s shareholders.