Saudi Arabia's $55 billion EA buyout approved by the European Commission, who say it doesn't raise competition concerns
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Summary
The [55billionleveragedbuyout](https://www.rockpapershotgun.com/ea−are−about−to−be−bought−for−50−billion−by−saudi−arabia−and−jared−kushners−investment−firms−claims−report)whichwillseeSaudiArabia,SilverLakeandJaredKushner−foundedinvestmentfirmAffinityPartnersbecomethenewownersofEAhasbeengiventhethumbsupbytheEuropeanCommission.Thebodyhaveruledthattheacquisition′sokasfarastheEU′srulesonmergersgo,andthatitdoesn′t"raisecompetitionconcerns"."TheEuropeanCommissionhasapproved,undertheEUMergerRegulation,theacquisitionofsolecontrolofElectronicArtsInc.oftheUSbythePublicInvestmentFund(‘PIF′)ofSaudiArabia,"thecommissionannouncedviaa[newsbulletin](https://ec.europa.eu/commission/presscorner/detail/en/mex261675)ontheirsitedatedtoday,July23rd."TheCommissionconcludedthatthenotifiedtransactionwouldnotraisecompetitionconcerns,givenitslimitedimpactoncompetitioninthemarketswherethecompaniesareactive,"thebodywrote."Thenotifiedtransactionwasexaminedunderthenormalmergerreviewprocedure."Thisapproval′sstrictlyintermsofpotentialthedealmighthaveto"significantlyimpedeeffectivecompetitionintheEU"regionspecifically."Iftheydonot,theyareapprovedunconditionally,"readstheexplanationon[theCommission′ssite](https://competition−policy.ec.europa.eu/mergers/overviewen)astowhytheyopttoapproveorprohibitproposedmergers."Iftheydo,andnocommitmentssuitabletoremovetheimpedimentareproposedbythemergingfirms,problematicmergersmustbeprohibitedtoprotectbusinessesandconsumersfromhigherpricesoramorelimitedchoiceofgoodsorservices".Earlierthisyear,46USlawmakers[signedaletter](https://www.rockpapershotgun.com/46−us−lawmakers−express−serious−concerns−about−the−saudi−led−ea−buyouts−impact−on−game−developers)callingontheFederalTradeCommissiontoinvestigatethe55 billion deal for signs that it could be damaging for workers and anti-competitive to the point of breaking American anti-trust law. So, the buyout seems to not be totally on the home stretch yet, even if it is looking increasingly likely to be waved over the line.
That leaves EA workers facing being majority owned by the Public Investment Fund of a country whose ruling regime have a terrible human rights record which Amnesty International cite as including “arbitrary” detention and execution of people simply expressing their opinions, abuse of migrant workers, and discrimination against women. They’re also believed by the CIA to have been responsible for the murder of journalist Jamal Khashoggi.
