Apple Backs Out of Talks to Purchase Game Studio Electronic Arts, Amazon Reportedly Set to Make Offer Instead [Updated]

[MacRumors]

Apple has backed out of a potential purchase of the game studio Electronic Arts (EA) following talks that have been ongoing since as early as May of this year, with Amazon instead poised to make an offer, according to a report from USA Today vertical ForTheWin.

Over the last couple of months, EA has been speaking to several companies with potential interest in the acquisition, including Apple, Amazon, and Disney. Apple has had a renewed interest in the gaming market ever since the launch of Apple Arcade, the company's subscription-based gaming service that offers exclusive games with no in-app purchases and ads.

A purchase of EA by Apple would give the Cupertino tech-giant access to hit gaming franchises that include "The Sims," "Battlefield," "Apex Legends," "SimCity," "DragonAge," "FIFA," and more.

Apple purchasing EA, which has a market value of $34 billion, would be the largest acquisition by Apple in its history. Apple's largest purchase to date is Beats, which it bought for $3 billion in 2014. During the company's last earnings call in July, CEO Tim Cook said Apple "never buys just to buy," but added that he wouldn't "rule anything out" and that Apple is "constantly surveilling the market."

Update: According to CNBC sources, the rumor that Amazon is set to purchase Electronic Arts (EA) is incorrect.

Article Link: Apple Backs Out of Talks to Purchase Game Studio Electronic Arts, Amazon Reportedly Set to Make Offer Instead [Updated]

 

[Eriamjh1138@DAN]

Isn’t EA the most hated of game developers? Or is that all of them?

 

[berrymetal]

Good! apple deserves better

 

[Benlurks1010]

Amazon and EA sounds like a match made in Heaven, why butt in. I think what they’re doing with Apple arcade will be much better served by smaller indie studios.

 

[TVreporter]

“If it’s in the game, it’s in the game” …became…

“If you frequently use our micro-transactions, it might be in the game.”


Brand recognition sure but EA has fallen over the years.

 

[diamond.g]

Isn’t EA the most hated of game developers? Or is that all of them?

The are a disliked publisher. I think their development teams are fine when not ham stringed by the requirement to "make a quick buck".

I think all the IP Apple could have owned could have made this worthwhile...

 

[CosmicRadiation]

EA would be a perfect match for Apple's greed!

 

[HappyDude20]

Phew.

Last thing I need is a reason to subscribe to Apple Arcade.

 

[spazzcat]

Isn’t EA the most hated of game developers? Or is that all of them?

They have ruined so many good franchises.

 

[Armada2]

Finally some common sense at Apple

 

[Apple Knowledge Navigator]

Good choice.

 

[diamond.g]

They have ruined so many good franchises.

Apple could fix it though. Buying EA means they are the publisher for all the franchises EA has messed up. They could fix things.

 

[slplss]

Isn’t EA the most hated of game developers? Or is that all of them?

All. Gamers are one of the most toxic and self entitled communities.
Edit: and it really shows.

 

[1557750]

Smart move, Apple.

EA would be a perfect match for Apple's greed!

Not really, because Apple produces quality products and services for the price.

EA is better off sharing a bed with Bezos, where you sometimes get the quality products you think you’re purchasing.

 

[Jimmdean]

Their IP is not worth the value of the company as a whole - same as Activision.

 

[Jeaz]

It would have been interesting to see Apple spend big to invest into the gaming industry but not sure EA would have been the best choice. Sure, their game catalogue would probably fit quite well with Apple but it comes with so much baggage.

 

[The Phazer]

Smart move, Apple.

Not really, because Apple produces quality products and services for the price.

EA is better off sharing a bed with Bezos, where you sometimes get the quality products you think you’re purchasing.

LOL Apple's gaming strategy is predatory gambling microtransactions. They'd be a perfect fit.

(Amazon is not buying EA.)

 

[Born2Run]

Apple was set to buy Electronic Arts, but couldn't afford all the microtransactions they would have to pay afterwards!

 

[daneoni]

EA probably tried to extort Apple who then decided to walk away

 

[mnsportsgeek]

Of course they did. They’d rather just release games like Jetpack Joyride.

 

[1557750]

LOL Apple's gaming strategy is predatory gambling microtransactions. They'd be a perfect fit.

(Amazon is not buying EA.)

I didn’t say they were, I read the article. I said they’d be better off in bed with them.

And users have a choice to spend, or not to spend money on micro transactions. Just because they’re addicted to a game to the point they’ll dump hundreds/thousands on a game just to progress further, shouldn’t be on Apple.

And your “LOL” made your reply REALLY funny. 👍

 

[Danoc]

.

 

[mookc1]

I'd say Amazon and Apple are in our Kool-Aid enough already.

 

[opeter]

Apple should just buy Microsoft. But Timmy needs a bit more money for that, what he has now in the pocket.

 

[bLackjackj]

Update: According to CNBC, the rumor that Amazon is set to purchase Electronic Arts (EA) is incorrect.

So what's the point of the article then? The "update" was posted in the "rumor"?