There have been rumors flying about the Electronic Arts was setting up to purchase social gaming giant Playfish. And now, it appears, the rumors are true. The deal is valued at $275 million -- plus $25 million in equity retention arrangements, even higher than the $250 million stated in the eariler rumors. The reason? EA wants to become a major player in the social gaming space, and considering the way sites like Facebook and MySpace took off, it is a good move. Reportedly, PlayFish will operate as part of EA Interactive, which is focused on the wireless, web and digital marketplaces.
"Social gaming, with its emphasis on friends and community, is seeing tremendous growth and this is the right time to invest to strengthen our participation in this space," says EA Interactive's senior VP and GM Barry Cottle.
If you're wondering how says Playfish co-founder and CEO Kristian Segerstrale feels about the whole thing, he had this to say:
"The industry is undergoing dramatic transformation, and joining EA is the ideal opportunity for us to push forward our goals to lead in the social entertainment evolution on a faster and much larger scale," says Playfish co-founder and CEO Kristian Segerstrale.
"EAi’s vision and entrepreneurial culture are consistent with our own, and together, we are in position to be the company that defines new and innovative connected experiences that will change the way people play games.”
Source: Gamasutra |
