EA’s Saudi Deal Draws Scrutiny From US Senators Over “Foreign Influence”

EA’s Saudi Deal Draws Scrutiny From US Senators Over “Foreign Influence”

Late last month, Electronic Arts confirmed that it had struck a $55 billion deal to go private under new ownership including Saudi Arabia’s Public Investment Fund, Jared Kushner’s Affinity Partners, and the private equity firm Silver Lake. There are a lot of unanswered questions about what this means for EA and the industry at large, but now two US Senators are raising the potential “foreign influence” Saudi Arabia could enact with EA under its control.

Senators Richard Blumenthal and Elizabeth Warren–both of whom are Democrats–co-authored a letter to EA CEO Andrew Wilson and Department of Treasury Secretary Scott Bessent about whether Saudi Arabia will take over EA’s editorial independence if the deal is approved. As reported by 404 Media, they also suggested that Saudi Arabia’s ownership may rise to the level of a “national security” risk.

“The deal’s potential to expand and strengthen Saudi foreign influence in the United States is compounded by the national security risks raised by the Saudi government’s access to and unchecked influence over the sensitive personal information collected from EA’s millions of users, its development of artificial intelligence (AI) technologies, and the company’s product design and direction.”

Saudi Arabia’s PIF has spent a lot of money to invest in multiple video game companies, including Nintendo. The country also struck a 12-year pact with the IOC to bring the Olympic Esports to Saudi Arabia for multiple events. Saudi Arabia has been accused of numerous human rights violations as well as the 2018 assassination of Saudi journalist Jamal Khashoggi. Investing in video game companies and other diversified holdings has been interpreted as a way for the country to whitewash its image on the international stage.

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