A new wave of layoffs hits EA ahead of billion-dollar sale

The sovereign fund of that country is set to hold an astounding 93.4% of the shares in the publisher if the deal is finalized. The transaction is slated for the coming months, pending only the verdict of European antitrust agencies, who have set July 23 as the deadline for a decision. This multi-billion-dollar acquisition, initially announced in September 2025, is expected to proceed smoothly due to the political influence of those involved, including the son-in-law of the United States President Donald Trump, Jared Kushner. Handing the control of one of the world's largest gaming companies to a controversial state fund raises genuine concerns about the future of its franchises, sparking protests from unions and human rights groups who fear the impact of this concentration of power.

The initial information about staff cuts surfaced through the portal Kotaku. Reports from internal sources indicate that the layoffs affected employees in recruiting, customer support, information security, and IT technology departments.

Social media quickly filled with statements from former workers of the gaming giant confirming the layoffs, many of whom were working remotely inside and outside of the United States. The outlet Eurogamer reached out to the company's press office seeking clarification on the exact number of layoffs, but did not receive an immediate response. It's chilling to witness dedicated professionals in support and community safety lose their livelihoods on the eve of such a drastic management change.

This aggressive restructuring is occurring as Electronic Arts prepares to be absorbed by the Public Investment Fund of Saudi Arabia in a purchase deal valued at $55 billion.

Alongside the sale process, the company has been undergoing profound structural changes that justify this emptying of offices. Like other software development giants, EA has decided to fully embrace the use of artificial intelligence tools. CEO Andrew Wilson stated at the end of 2024 that technology was at the core of the business, revealing that the brand had over 100 automation-based projects underway. While management uses bots to eliminate human jobs in essential functions, company executive Laura Miele opted for curious rhetorical gymnastics to publicly defend the technical transition within the publisher's studios.

"Artificial intelligence has sparked a true surge of creativity"

This recent wave of cuts marks the third round of staff reductions carried out by the company just this year. It remains to be seen what the actual damage will be and how many people will still be working at the company's facilities when the new owners take definitive control of the operation. Replacing qualified labor with cheap automation might boost immediate profits in reports presented to shareholders, but it often comes at a high cost to the quality of service and overall user experience for those consuming the brand's games.