Well since the backlash from the abrupt closure of Visceral Games it seems EA has once again made quite the hardy move dare I say.
Electronic Arts (EA) announced the purchase of Respawn Entertainment, as well as development on a new Titanfall game in a press release and has now full rights and ownership of Respawn Entertainment. EA has acquired Respawn for a massive $455 Million, and it will now be interesting to see how they go about utilizing their strategic acquisition in the near future.
The agreement is as follows: EA will pay 151 million in cash upfront, up to $164 million in long-term equity, and a maximum of $140 million in performance bonus. which sums up to be quite the amount and that follows with a risk that if Respawn Entertainment reaches its incentive future targets.
According to Kotaku the devs were first approached by a South Korean publisher Nexon to which EA was given the option to compete with the sum which is currently unknown to which EA decided to do so in the end
In a Recent Open Letter posted on Respawn’s Website by Vince Zampella he said:
“While it wasn’t necessary, going with EA made a lot of sense,”“With Titanfall and Star Wars, EA has been a great development partner that supports us and doesn’t interfere with our process for making games or studio culture. EA will provide us with more resources, access to new technologies, and expertise that we can tap into to that will help us make better games, and Respawn will retain the same creative freedom and culture we’ve always had. We’ve been talking closely with the leadership at EA and we share their values and vision for the future of being a developer-focused company that puts the players first.”
What do you make of Respawn’s sale to EA? Let us know by commenting in the comments section below.
