Amazon is about to buy Electronic Arts (EA)!

According to the latest developments, tech giant Amazon is currently in the running to acquire video game publishing giant Electronic Arts. According to informed sources, Amazon could make an official announcement later today.

Amazon and Electronic Arts

However, it is not yet known what the purchase offer will be. When the rumors first circulated, shares of Electronic Arts Inc jumped more than 6 percent in pre-market trading. At Thursday’s close, EA stock was trading at $127.

Over the past few weeks, several EA buyout rumors have circulated in the market. These rumors suggested that companies like Disney and Apple were also among the interested parties. However, sources familiar with the matter said that Amazon has managed to outbid a lot of heavyweights.

Electronics Arts is one of the most popular video game publishers on the market. It has some of the most popular titles like FIFA, The Sims, Madden NFL, Appex Legends, to its credit. Sources also said that Amazon will use EA’s franchises such as Dead Space, Dragon Age and BioWare’s Mass Effect as the framework for its TV series, an EA spokesperson said:

“We do not comment on rumors and speculation regarding mergers and acquisitions.”

The Game Wars

Gaming looks to be one of the most lucrative businesses for the next decade amidst growing demand. Over the past year, nearly every tech giant has entered the gaming space with increased curiosity.

Microsoft has so far emerged as the leader when it comes to making big acquisitions in the video game industry. Microsoft acquired Bethesda for a whopping $7.5 billion and integrated it into its popular Xbox. Similarly, its deal to acquire Activision Wizard for a staggering $70 billion is nearing completion.

Currently, Amazon has expanded into almost every other sector except gaming. If it can strike a deal to acquire Electronic Arts, it will give it a larger footprint in the games market. Electronic Arts has dozens of development studios around the world and employs more than 12,900 people. Some of the popular studios it owns include Dragon Age and Mass Effect, BioWare, among others.