Comment on It's official: EA is going private.

vga@sopuli.xyz ⁨3⁩ ⁨weeks⁩ ago

• Bronzebeard@lemmy.zip ⁨3⁩ ⁨weeks⁩ ago

  This specific instance? Worse.

  It’s being bought by blood money (Kushner’s $2billion investment/bribe to hush up the US government about the brutal murder of a US resident journalist at the hands of the Saudis).

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• SippyCup@lemmy.ml ⁨3⁩ ⁨weeks⁩ ago

  Public companies have a hard wired compulsion to increase value for shareholders. Every single decision is made with profit in mind. In the best cases you get milquetoast, inoffensive material everyone can enjoy. Ultimately, this leads to a relentless and aggressive pursuit of endless growth at any cost.

  Private companies can take a loss here and there, they don’t have to report a bad quarter and so they can plan ahead. Which allows them to do two, non explains things. That approach allows them to build a robust and loyal consumer base which is quite valuable. So they’ll sell it off again and let the public companies milk them dry. They can also get up to some horrendously evil shit behind closed doors in a foreign country where the laws only apply to people who aren’t the ruling family and never have to answer for it. Though that kind of thing is usually reserved for like, chemical manufacturers and labor intensive luxury food markets. It may be that the Saudis are just diversifying and want a propaganda mouthpiece. Or one of the royals REALLY likes FIFA.

  Hard to say.

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• dependencyinjection@discuss.tchncs.de ⁨3⁩ ⁨weeks⁩ ago

  Depends. This is a leveraged buyout and there are countless examples of other companies bought like this and they don’t last long.

  They take on massive debt to buy it. Then they shift that debt to the company they bought and away from the individuals. Then that company is crippled paying down interest so they can’t innovate (not that EA did), then they’ll have to cut costs and the product will diminish. Likely pay out billions in dividends to the buyers can make profit and in 5-10 years EA will go bust or get sold again.

  The banks will be left holding the bag, but probably covered their loses by that time so can write off the rest of the debt.

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• itztalal@lemmings.world ⁨3⁩ ⁨weeks⁩ ago

  Depends on your perspective.

  This is bad from a business, creativity, and human rights standpoint.

  However, it’s good that a shitty company like EA with predatory products is going to be even more exploitative and predatory from here on out.

  I enjoy watching the useful idiots get taken for a ride.

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  • PissingIntoTheWind@lemmy.world ⁨3⁩ ⁨weeks⁩ ago

    Haven’t bought an EA game in over a decade. Don’t intend to change that anytime soon.

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• CrazyFrog97@discuss.online ⁨3⁩ ⁨weeks⁩ ago

  Yes.

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• jj4211@lemmy.world ⁨3⁩ ⁨weeks⁩ ago

  If it’s gone public, then generally going private is a bad thing. It’s usually some investors that are going to do something bad with the company.

  A company that starts and stays private may be all the better for it (but that’s hardly assured either). If they are a success and didn’t bring a lot of investors, then it generally means they actually care about the work intrinsically.

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