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Could Electronic Arts Buy PopCap For Over One Billion Dollars?

Could Electronic Arts Buy PopCap For Over One Billion Dollars?

June 23, 2011
According to TechCrunch, Electronic Arts is in late state acquisition discussions with PopCap Games - the company behind mobile classics such as Plants vs. Zombies and Bejewelled. Initially, all we knew is that PopCap could be acquired for the sum of one billion dollars, or more. However, the buyer was not known: The huge price suggested that the acquisition was too expensive for Zynga, who has made several other purchases recently. Now, two of TechCrunch's sources have stated that the buyer is Electronic Arts - a company that has a strong presence in the world of console gaming, and is currently trying to break into the landscape of mobile gaming. If PopCap is indeed purchased for over one billion dollars, this will cost Electronic Arts over 13 percent of the company's market cap, which currently stands at $7.47 billion. It's a massive purchase, and if the buyer does turn out to be Electronic Arts, you can be sure the company is deadly serious about becoming a major figure in the world of mobile gaming. But what about us, the gamers? Would the acquisition of PopCap be good news or bad news? In the world of iOS gaming, the better games are generally made by smaller, independent companies like Rovio, Lima Sky and - for now - PopCap. Just think about the best games the App Store has to offer: Angry Birds, Doodle Jump and Plants vs. Zombies are among them, right? The thing many could be worried about is whether EA spoils PopCap through this acquisition. For now, we'll just have to sit back and wait - PopCap could continue to do exactly what it's been doing all these years following the acquisition: It doesn't have to be a funeral. We'll keep you posted. In the meantime, feel free to share your thoughts in the comments.

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