The acquisition of Electronic Arts by Saudi Arabia’s Public Investment Fund, Jared Kushner’s Affinity Partners, and private equity firm Silver Lake could be put on hold, if a Democrat-led Labor Caucus has anything to say about it. As it stands, the deal is set to close in 2027.
The Labor Caucus sent a letter signed by Democrats urging Federal Trade Commission Chair Andrew Ferguson to review the planned acquisition.
“We are committed to preserving fair, competitive labor markets and safeguarding American jobs, and given the impact of this acquisition on workers, labor market concentration, and the long-term competitiveness of the U.S. video game industry, we urge you to thoroughly review this transaction,” the lawmakers wrote in the letter.
Should the acquisition go through, PIF would ostensibly have full control over one of the largest video game developers and publishers in the US. The lawmakers are rightfully worried about the impact the acquisition could have on EA employees.
“Additionally, we are concerned that the proposed buyout is expected to be financed with at least $20 billion in debt, which creates strong incentives for the acquiring firms to pursue further cost-cutting measures, including layoffs, offshoring, restructuring, or studio closures,” the lawmakers continued.
EA, like many in the industry in recent years, laid off 670 people in 2024, followed by more layoffs in April 2025. An acquisition of this size – particularly with the proposed debt in the buyout – could lead to additional layoffs.
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The lawmakers are also concerned that the acquisition could increase EA’s control of the labor market with its dominance in the video game industry as well as existing holdings in other industries.
While EA wouldn’t be the only developer the PIF has a stake in, it would be its largest, presumably giving it greater control in company culture and development.
Saudi Arabia has different cultural norms than the US. For example, under Sharia law, identifying as a member of the LGBTQ+ community is punishable by death. Whether or not the PIF would impose its cultural views onto the games EA produces remains to be seen, but it could impact studios such as Dragon Age: The Veilguard developer BioWare and Sims developer Maxis, which often feature members of the LGBTQ+ community.
The letter was signed by 46 House Democrats, and supported by the Communications Workers of America (CWA).