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    You are at:Home»Gaming»US lawmakers ask FTC to “thoroughly” review $55bn EA deal, warning of potential negative impact on workers
    Gaming

    US lawmakers ask FTC to “thoroughly” review $55bn EA deal, warning of potential negative impact on workers

    TechAiVerseBy TechAiVerseJanuary 23, 2026No Comments3 Mins Read6 Views
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    US lawmakers ask FTC to “thoroughly” review $55bn EA deal, warning of potential negative impact on workers
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    US lawmakers ask FTC to “thoroughly” review $55bn EA deal, warning of potential negative impact on workers

    “Given the scale of this acquisition and EA’s current dominance over the domestic video game labour market, we believe careful scrutiny of this deal is essential”

    Image credit: Electronic Arts

    The United States’ Congressional Labor Caucus has written to the Federal Trade Commission to raise concerns about the potential impact of the proposed $55 billion acquisition of Electronic Arts led by the Saudi Arabian Public Investment Fund (PIF).

    In the letter – as spotted by Aftermath – the group of US lawmakers asked that FTC chair Andrew Ferguson review the deal “thoroughly”. The letter is signed by 46 House Democrats and has the backing of the Communications Workers of America union, which is the parent of most of the bargaining units currently operating in the US video games industry.

    The Caucus’ objections stem from concerns regarding how this deal will affect workers, especially as the deal is financed with at least $20 billion of debt, “which creates strong incentives for the acquiring firms to pursue further cost-cutting measures, including layoffs, offshoring, restructuring, or studio closures”.

    The group also points to EA cutting over 1,700 jobs in the United States alone since 2023.

    In addition, the Labor Caucus has concerns about the potential for EA’s “labour marketing dominance” due to the business connections the publishing giant’s buyers have, such as Silver Lake’s links to talent agency WME and sports giant TKO Group Holdings, and the PIF owning LIV Golf.

    The final concern raised by the group is citing the FTC’s 2023 Merger Guidelines, which state that deals that impact workers, hold down wages, or enable “dominant firms to reduce labor demand may violate antitrust laws”. The Caucus appears to believe that this would apply to EA’s acquisition.

    “Given the scale of this acquisition and EA’s current dominance over the domestic video-game labour market, we believe careful scrutiny of this deal is essential,” the Caucus wrote.

    The letter concluded: “We respectfully urge the Commission to conduct a thorough investigation into the labour market consequences of this proposed acquisition, including EA’s existing wage-setting power, the likelihood of post-transaction layoffs, the degree of labour-market concentration in relevant geographic and occupational markets, and the role of cross-ownership in shaping labour outcomes. Workers deserve a fair, competitive marketplace where their skills are valued.”

    In September 2025, EA confirmed reports that it was set to be acquired by the PIF, private equity firm Silver Lake and investment outfit Affinity Partners for $55 billion. Due to its stakes in the other players on the deal, the PIF will own more than 93.4% of Electronic Arts, should the deal be approved.

    EA shareholders have backed the acquisition.

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