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Electronic Arts Acquires Respawn Entertainment

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In the unexpected announcement of the day, Respawn Entertainment, developers of the Titanfall franchise, has been acquired by Electronic Arts. Previously, EA was merely the publisher for Titanfall while Respawn remained independent.

In an official statement, EA provided some of the financial details of the agreement:

Under the agreement, EA will pay $151 million in cash, and up to $164 million in long-term equity in the form of restricted stock units to employees, which will vest over four years. In addition, EA may be required to pay additional variable cash consideration that is contingent upon achievement of certain performance milestones, relating to the development of future titles, through the end of calendar 2022. The additional consideration is limited to a maximum of $140 million. 

Our Take

To us, this seems really bizarre. After Vince Zampella created Respawn, it was expected by many that he would remain independent. With Titanfall being a AAA franchise and Respawn also working on Star Wars title, it seems to be a strange time for Respawn to make this agreement. We certainly hope that Respawn is given creative freedom and the Titanfall franchise continues in some form.

Seasoned Gaming View All

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