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Tak... EA buys Codemasters


mmmark
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So businesses exist to make money. 

The usually do this by selling a product, or by providing a service. 

Once a company has become big enough and the one product or service that they have has reached saturation, sometimes they will seek to make their market share bigger by way of acquisition. 

This serves a few purposes. Expand user base, eliminate competition, or, gain possession of intellectual property. 

EA, gained a shitty reputation for churning out generic shite year on year and for buying up smaller companies, hollowing them out, churning out low grade sequels and laughing all the way to the bank. 

 

If it looks like a duck, and quacks like a duck, you can argue it's a Swan all you like, but it's probably a fucking duck... 

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1 hour ago, mfnick said:

Not really. It’s not just me, it’s the majority of gamers. That’s why EA have the reputation they have.

 

Anyway,

Deal ?


EA have earnt their bad reputation over the years. That doesn’t mean that Codies under EA can’t thrive though as they have a great track record in terms of Sports titles. 

 

55 minutes ago, Sly Reflex said:

Thing is we are using common sense. We're looking at what has happened in the past and lining it up with what is happening now. We don't need Sterling to point this out for us. We've witnessed it for decades. It's not like we're all gathering round and clapping for Codemasters to become shit. This is your projections on us. You are seriously out of your mind if you think any of us wanted Westwood, Bullfrog, Pandemic, Visceral or any of the other companies that folded at the hands of EA to suffer a dip in quality or get shuttered. You see a pattern repeat over and over of successful companies putting out excellent work and then getting kneecapped by EA. It's not out of the realms for people that enjoy Codemasters games to start getting jittery when EA gets brought into the equation. EA have form.


If this wasn’t a Sports studio with Sports licenses EA was taking over, I’d agree with you wholeheartedly. But history suggests EA treats it’s Sports studios far better than their ‘EA Games’ division, they have a far better track record and no (or far less) studio closures. 

 

42 minutes ago, Craymen Edge said:

Don't be mean to the poor corporation, you guys!


If this is the point you took from my posts then you’ve got me all wrong,I have no love for EA whatsoever, I find some of their practices appalling (FUT etc.) but I also don’t think you can argue that their Sports division hasn’t been wildly successful over the years.

 

41 minutes ago, RoboticMonk3y said:

EA, gained a shitty reputation for churning out generic shite year on year and for buying up smaller companies, hollowing them out, churning out low grade sequels and laughing all the way to the bank. 

 

The ‘generic shite they churn on year’ is exactly why they’re buying Codies, so they have a studio and a license for the F1 and WRC games every year. That’s what Codies is doing with F1 currently and another publisher is currently doing with the WRC License (which Codies will acquire in 2023), they want EA Sports F1 21 and EA Sports WRC 24 under their Sports umbrella.

 

F1 is already monetised to fuck, even with Codies at the moment. Not like EA will do much worse except put F1 UT in it (I expect).

 

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  • 1 month later...

IGN: With Codemasters Acquisition EA Aims to Release a new Racing Game every year

 

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EA is hoping that its planned acquisition of British racing game maker Codemasters will enable it to start releasing a new racing game every year, on par with its other EA Sports franchises.

In a slide deck accompanying the publisher's Q3 financial results today, EA highlighted the motivations behind its pending acquisition, including the desire to increase its presence in racing, with EA CEO Andrew Wilson describing the sport as "one of the few truly global sports" during the company's earnings call.

EA's presentation further outlined Codemasters' IP line-up, which includes owned IP Dirt, Dirt Rally, Grid, Project Cars, and upcoming mobile franchise Project Cars Go, as well as licensed IP F1 and upcoming licensed games for World Rally Championship beginning in 2023.

These would be added to EA's owned racing franchises Need for Speed and Burnout Paradise, as well as Real Racing -- which hasn't had a new game launch since Real Racing 3 in 2013.

Later in the earnings call, COO Blake Jorgensen praised the viability of F1 racing in particular as a global franchise currently gaining further traction in the US, suggesting that EA hopes to become the go-to publisher for racing games more broadly, saying the genre is "one of the best growth opportunities there is."

"On top of the fact that the Dirt Franchise, the Grid franchise, all of their franchises are incredible games, but none of them are actually taking advantage of a large publishing organization and the marketing muscle that we are able to deliver. And we think that has growth to it. Not to mention, the talent that can continue to help our Need for Speed business or our Real Racing business could be very powerful. So we know it is not a FIFA-sized business, but we know there is an incredible opportunity to own essentially all the driving business there is."

 

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  • 2 weeks later...

 

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"Codemasters has completed its sale to Electronic Arts, following delivery of a Court Order to the Registrar of Companies of England and Wales on Thursday.

The entire issued share capital of Codemasters is now owned by Codex Games Limited, an indirect subsidiary of EA.

Trading in Codemasters shares was suspended on AIM, a sub-market of the London Stock Exchange, this morning, and existing shareholder will receive settlement (604 pence per Scheme Share held) within 14 days.

Now that the sale has been completed, each of Codemasters’ Non-Executive Directors has stepped down from the Codemasters Board with immediate effect.

EA’s acquisition of Codemasters values the company at approximately $1.2 billion."

 

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  • 1 month later...
  • 1 month later...

EA will leave Codemasters to its own devices like it has with Respawn

 

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Electronic Arts CEO Andrew Wilson has stated that the publisher doesn’t intend to make the newly-acquired studio change, however, and that its goal is actually to encourage Codemasters’ independence.

“Similar to Respawn, our orientation isn’t to come in and take over Codemasters; our orientation isn’t to come in and turn Codemasters into another Electronic Arts studio; our orientation is around the provision of opportunity,” Wilson told MCV (via VGC).

“This industry is all about amazing, creative talent. And we see little upside in the indoctrination of that amazing creative talent. But we do want to provide them access to the things that we get by virtue of our position in the industry.”

Wilson goes on to say that EA has an “amazing cupboard” that contains myriad IP, modern tech, marketing resources, and an in-built player base. He suggests EA is merely handing Codemasters ‘a set of keys’ to access these tools, much in the same way the publisher has with Respawn.

And it’s a sentiment Codemasters CEO Frank Sagnier agrees with. “EA brings scale with its sales and marketing muscles, live services expertise, state-of-the-art analytics platform, EA access, EA Play, Origin – just so much wealth that EA brings in terms of their services,” Sagnier told MCV.

 

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