EA reportedly for sale

[mk11232 105]

EA is reportedly for sale due to massive debt and the massive failure of recent titles, namely the 200m+ spent on star wars mmo that now is going free to play and has less than 1 million subs and falling fast .

http://www.mobilenapps.com/articles/3813/20120821/ea-up-sale-what-mean-gamers.htm

This is the company that we have to trust to keep the severs up at all times in oder to play. Look at blizzard and Diablo 3, up time about 80-90 %. A re we supposed to believe EA will keep the sever up at least that much while broke when even blizzard can't? We are supposed to believe EA will maintain these servers over time, going broke I don't see EA keeping servers up after they stop selling box copies and income drops as there is no residual (at least yet available) . This is another reason for the community to voice at every opportunity a demand to stop this always connected and cloud save nonsense.

[Urban Cartographer 601]

What a great revelation! We need to join together to create an independent studio to create a true successor to SC4! EA failed to deliver! Who will volunteer to create a Kickstarter (must be US resident to do so)?

  Edited August 24, 2012 by Urban Cartographer  

[captivatedlady 7]

This is like the second 'EA Bad News' I have read in as many days yesterday popcap was downsizing owned by EA. Pogo.com is owned by EA as well, and they are always having problems, haven't heard any downsizing rumors for them as yet. I have always been against the always connected aspect for SC2013. However my sc4 discs still work and with the great custom content I get from here and sc4devotion/lex. I see no need to rush out and get the next generation of simcity. I can putz around with my cities and not worry about my 'neighbor' being able to see what I doin and possibly sabatoging my city.

[Shark7 118]

This is what happens when a company treats its customers badly...the customers stop being customers and the business fails.

[aereus 106]

I wouldn't worry too much. Worst-case is EA and/or Maxis gets sold off. Theres too much potential revenue behind The Sims and Sim City for the franchises to just die.

I guess the one worry would be someone like Ubisoft picking up Maxis -- then the game would only run online, AND they would implement some kind of DRM that only let you run the game if your face in the webcam matched the owner picture they have on file =P

[herob4u 34]

Ok Ok ok....First, I am glad to hear EA is plummeting or expected to. My days of prayers weren't in vain

But I couldn't care less if they do, what I CARE ABOUT is: If EA is out, does that mean other publishers could hire/buy the development teams previously owned by EA? Such as Maxis, DICE, etc.? I am asking this for maybe there might be a chance other publishers might have sense and good taste to make a game the fans would enjoy and profitable at the same time. I am asking about a Simcity that would be developed reasonably! Since basically, all of the horrible downfalls of franchisees I've seen are by EA mostly IMO, if another company takes the development, maybe fan's feedback are gonna be acknowledged? Or at least a better game design would be given.

[Follarch 326]

No kidding. D: QUICK! Everyone tell Microsoft Game Studios to buy Bioware, Dice, and Maxis immediately!

[Linoa06 1,374]

Another stock exchange move that, in the end, will only mean that more game developers will be fired, but otherwise will still benefit to the same fat rich people who never played Simcity and frankly couldn't care less.

[Cobraroll 138]

EA are still hauling in the Benjamins from their sports games and licensed games (made to tie-in for movie releases). The Sims series still figure on top of best-seller lists all over the planet. Even though "core" gamers don't like them, they certainly make a lot of money, and they can certainly afford a failure or two. Had they been in any real financial problems, we would have heard about it long ago. Remember when the news were all over the press because Nintendo reported a loss two fiscal quarters in a row.

In short, I believe this to just be an unsubstianted rumour. This notion is backed by the fact that the single news article listed in this topic has "an unnamed source" as its only informant.

[Essex 322]

EA are still hauling in the Benjamins from their sports games and licensed games (made to tie-in for movie releases). The Sims series still figure on top of best-seller lists all over the planet. Even though "core" gamers don't like them, they certainly make a lot of money, and they can certainly afford a failure or two. Had they been in any real financial problems, we would have heard about it long ago. Remember when the news were all over the press because Nintendo reported a loss two fiscal quarters in a row.

In short, I believe this to just be an unsubstianted rumour. This notion is backed by the fact that the single news article listed in this topic has "an unnamed source" as its only informant.

Knowing EA, there will be some corporate gain out of it, never loss.... it doesn't exist in corporote play.

[mk11232 105]

EA are still hauling in the Benjamins from their sports games and licensed games (made to tie-in for movie releases). The Sims series still figure on top of best-seller lists all over the planet. Even though "core" gamers don't like them, they certainly make a lot of money, and they can certainly afford a failure or two. Had they been in any real financial problems, we would have heard about it long ago. Remember when the news were all over the press because Nintendo reported a loss two fiscal quarters in a row.

In short, I believe this to just be an unsubstianted rumour. This notion is backed by the fact that the single news article listed in this topic has "an unnamed source" as its only informant.

Since I posted the original on my phone I grabbed the first link. But since you won't believe that outlet let me put the original source, the New York Post and source is a close New York Post source so you can probably trust this as otherwise the NYP could be in trouble for causing unsubstantiated damage to EA's stock. Further, EA has refused to comment in any manner on this, they refuse to confirm or deny or even discuss whether they are for sale. A company not for sale would emphatically deny it, the fact they refuse to even comment pretty much cements that fact.

http://www.nypost.com/p/news/business/mad_for_madden_3lyqSl04ZEpZeO9Zmh81GI

[The_City_Builder 299]

Hopefully if this is true it won't threaten the release of SimCity.

[Netuno 97]

Who thinks only in profit, it forgets what keeps a company alive for many years is customer satisfaction.

  Edited August 24, 2012 by Netuno  

[§haÅ--Ñ€ §hÅŽo 370]

Maybe Valve will buy the SimCity franchise. Hopefully, but probably not...

[NCGAIO 562]

It was a great moving stop-down that somehow functioned as stocks rose. For now it worked but we'll see how long?

Selling to a financial investor only means that the current policy will continue in EA - profit maximization at the expense of milking the pockets of consumers.

[Urban Cartographer 601]

I am thinking alternatively if we the players pool up our funds and buy Maxis. This way, loyal Maxis fans would support the game by making Maxis an independent studio and Maxis would implement features that the players want. Alternatively, Maxis can become a cooperative. I got the idea from the documentary The Take: http://en.wikipedia.org/wiki/The_Take_%282004_film%29

[mk11232 105]

I am thinking alternatively if we the players pool up our funds and buy Maxis. This way, loyal Maxis fans would support the game by making Maxis an independent studio and Maxis would implement features that the players want. Alternatively, Maxis can become a cooperative. I got the idea from the documentary The Take: http://en.wikipedia....ake_(2004_film)

Not sure you could pry maxis away from EA at this point, they'll need it as a bargaining chip.

It was a great moving stop-down that somehow functioned as stocks rose. For now it worked but we'll see how long?

Selling to a financial investor only means that the current policy will continue in EA - profit maximization at the expense of milking the pockets of consumers.

Its not just any financial investor but Providence Equity , they will gut, cut, and restructure EA to make it a profitable company. They basically own ZeniMax Media which owns Bethseda Studios which brought about the best PC game series of all time (undisputed) Elder Scrolls. They also have id Software (Doom and Quake) and Arkane (Might and Magic).

If PEP gets EA we could see some real development return to the studios under EA as well as a number of closures. Simcity is still such a strong franchise I would be very pleased to see Maxis brought under the management of ZeniMax. The reason being ZeniMax supports massive community involvement and community content to change how the games are played, look at any Elder Scrolls game and the type of content available. They would be best situated to bring SimCity community involvement to the forefront and get rid of the massive issues currently plaguing the community, which EA refuses to even acknowldge or speak about.

[NCGAIO 562]

Sure they would do just that .. but the focus on online still be present, just see Elder Scrolls online though with much property as it is an RPG.

I would not be betting that would press an offline SC4 if the transaction were to actually happen.

  Edited August 24, 2012 by NCGAIO  

[mk11232 105]

Elder scrolls online is a separate studio owned by the zeni, they will develop it on a different time line which won't affect the current Bethesda time line

[Netuno 97]

I have my doubts with respect to EA's sale to another company. Perhaps, this news is just rumors to attract more shareholders and valuing their shares.

Even so, this indicates that EA is in financial difficulties.

If at least EA sells only Maxis for a midsize company that cared about their customer’s satisfaction, I'd be very happy.

[Urban Cartographer 601]

I have my doubts with respect to EA's sale to another company. Perhaps, this news is just rumors to attract more shareholders and valuing their shares.

Even so, this indicates that EA is in financial difficulties.

If at least EA sells only Maxis for a midsize company that cared about their customer’s satisfaction, I'd be very happy.

I agree with you. This is much more realistic than my previous post (in which EA would make Maxis independent, though I keep this thought as an alternative if this fails). Maxis would go very well with Mojang (the company behind Minecraft).

  Edited August 25, 2012 by Urban Cartographer  

[Mithrik 562]

If EA finally falls, I seriously hope that Activison doesn't buy it off.

That's just as bad or worse.

[baertooth 330]

I am thinking alternatively if we the players pool up our funds and buy Maxis. This way, loyal Maxis fans would support the game by making Maxis an independent studio and Maxis would implement features that the players want. Alternatively, Maxis can become a cooperative. I got the idea from the documentary The Take: http://en.wikipedia....ake_(2004_film)

Alternatively, maybe the community could purchase the code base for SC4 from EA. At least enough of it to get a basic game running. Maybe not buy the art and interface to help keep the price down if they were to agree to that.

But I highly highly highly doubt this would fly unless it was a substantial amount of money. EA has little financial interest in fostering a competing platform. I think they would balk at anything less than a million would probably want substantially more than that. But I have no idea.

[captivatedlady 7]

baertooth you are almost right however they will balk at anything less than 100 mil is my guess seeing as how in 1997 they bought 125 million in maxis stock.

Under terms of the transaction, Electronic Arts will pay 0.3644 of one of its shares for each of the 11.26 million Maxis shares outstanding. Based on Electronic Arts' closing stock price of $30.375 yesterday, Electronic Arts would pay about $11.07 for each Maxis share.

Since the costs of everything is higher than it was back in the 90's.....well I dont think maxis would be bought from EA for substantially more than they paid. Especially if SC2013 goes big the way they expect it too.

  Edited August 25, 2012 by captivatedlady  

[Jim14409 448]

I wouldn't worry too much. Worst-case is EA and/or Maxis gets sold off. Theres too much potential revenue behind The Sims and Sim City for the franchises to just die.

I guess the one worry would be someone like Ubisoft picking up Maxis -- then the game would only run online, AND they would implement some kind of DRM that only let you run the game if your face in the webcam matched the owner picture they have on file =P

What? no thumbprint too?

I wouldn't be surprised if it doesn't come to the vid camera or similar as you suggest. While I have always bought all my games through legitimate channels it seems these companies have become rather paranoid about losing even one precious dollar. I think most people would do the right thing if the actions of these companies actually showed they appreciated and valued their customers instead of trying to seduce us with empty words.

There will always be rogue individuals, most of them in rogue countries who have no regard for law or ethics. They are the ones that should be hunted down and punished, not us who abide by the law. DRM and other "security measures" are invasive and burdensome, in other words... punishment. I'm afraid this conflict between the players and the companies will get worse before it gets better, but hopefully not.

[Urban Cartographer 601]

baertooth you are almost right however they will balk at anything less than 100 mil is my guess seeing as how in 1997 they bought 125 million in maxis stock.

Under terms of the transaction, Electronic Arts will pay 0.3644 of one of its shares for each of the 11.26 million Maxis shares outstanding. Based on Electronic Arts' closing stock price of $30.375 yesterday, Electronic Arts would pay about $11.07 for each Maxis share.

Since the costs of everything is higher than it was back in the 90's.....well I dont think maxis would be bought from EA for substantially more than they paid. Especially if SC2013 goes big the way they expect it too.

Let's do the math. $100 million is the same as 100 million SimCity fans paying $1 each or 10 million SimCity fans paying $10 each or a million SimCity fans paying $100 each.

This plan may be possible if there were an incentive to pledge money into being a shareholder of an independent Maxis, such as exclusives. Since $100 is worth less in 2012 than in 1997, SimCity fans may have to double their pledge or more in order to buy Maxis. Unfortunately, Maxis may be too valuable for SimCity fans to purchase Maxis, as The Sims is among the top 5 video game franchises (and the second highest for Western game franchises behind Tetris) based on copies sold.

  Edited August 25, 2012 by Urban Cartographer  

[nukeu123 307]

*sigh*

if one corporate tyrant collapses, it only leaves room for the next. - i dont remember were that came from

to a lot of ppl this may sound like a blessing (cough, cough down fall of EA) but honestly EA has there ways to make large amount of money, and if they fail, i fear that others will fall aswell.

regarding simcity, who ever buys EA/Maxis (actionvision,ubisoft,ect) will defiantly alter the core of the game, look at sc societies. developed by tillted mill and it came out as crap! back in 2006 it awed us with its eye candy gfx and city customization. there is no arguing that it look like it was going to kick some serious butt, however they never mention how much it changed from being a city sim to a simulator that focused on the moral's veiw(aka) society sim .

i see a grim future and we can only hope for the best

[bigro 165]

Maybe Valve will buy the SimCity franchise. Hopefully, but probably not...

Hatcity, You can build hats

[Netuno 97]

More news about the possible sale of EA

Electronic Arts reportedly shopping around for a buyer

http://www.techspot....or-a-buyer.html

Electronic Arts preparing to lay off at least 500 employees?

http://www.techspot....-employees.html

[Xenocity 343]

If EA finally falls, I seriously hope that Activison doesn't buy it off.

That's just as bad or worse.

Don't worry Vivendi is in the process of selling Activision-Blizzard (Yes Activision and Blizzard are one big company) for about $9 billion dollars.

Vivendi is desperate to sell.

Anyways if Maxis did get sold off or spun off they under most circumstances would retain their IPs.

I would love to See Maxis under Nintendo's belt (granted Nintendo was offered a chance to buy Maxis before EA did).

I would also settle for Apple buying out EA, as Apple has been looking for gaming developers and a place to spend their $80 Billion+ cash reserves.

The most likely scenario is a Ubisoft buy out, because Ubisoft is looking to become the #1 developer in the world.

Though we would have to buy our games thru Ubisoft's U-play store using U-play software (which is said to be more intrusive than Origin).

The worst case scenario is Microsoft and/or Sony (ok they are almost out of money literally) buying Maxis, because both companies are looking for a studio that will bring them the family/"casual" games.