CNBC’s Goldman: Apple could, should buy Electronic Arts

invisibleSHIELD case for iPad“In a Quixotic kind of way, SAP’s acquisition plans announced last week for Sybase got me thinking about another deal that’s made the rounds over the past couple of years: Apple and the potential take-out of Electronic Arts,” Jim Goldman writes for CNBC.

Goldman writes, “I know, I know: EA being acquired by Apple is an oldie, but it’s still a goodie!”

“With Electronic Arts’ most recent disappointing earnings, and its stock much closer to its 52-week low than high, and a market cap of only $5.7 billion, now would be as good a time as any for Apple to make a move. Apple’s got the cash, EA is a far cheaper alternative than Activision, the tech industry overall seems to be in an acquisitive mood, and even Apple has opened up its checkbook recently for some key, though relatively small, deals,” Goldman writes. “The payoff could be handsome.”

Full article here.

31 Comments

  1. EA already makes some great iPhone games, from which Apple takes 40% before expenses.

    Why would Apple want the part of EA that’s struggling?

    Most “Apple should buy Xxxx” arguments ignore the fact that one of Apple’s greatest strengths is their ability to focus (ahem, hello GOOG). Why would Apple want to be a game developer when they already gross 40% of the games available for their game platform?

  2. Sorry – meant “30% before expenses”, and “gross 30% of the profit from games available”.

    Never post immediately after lunch. Zzzzzz….

  3. Not gonna happen. Why?

    Apple has bought small companies to further its device and services growth. EA doesn’t fit into this. Apple already makes money off of EA products sold via the App Store anyway. Apple doesn’t need to buy EA to get games made for the App Store. Any game developer which is not making games for the iDevices will be out of business soon anyway.

    Buying EA would just be buying something because it was there, not because it fits into The Plan.

  4. Disney would be a better bet, but they already have a robust in-house team cranking out games based on their assets. I paid $2.99 for the “Phineas & Ferb” game for my 5-year olds.

    Evil geniuses, Disney….

  5. “Apple should buy…” World Tour, 2001-2010

    2001–2003: A record label
    2004–2008: A film studio
    2005–2008: Sony
    2001–present: Adobe
    2005–2007: A wireless phone company
    2008–2008: Sprint
    2009–2009: Facebook
    2008–2009: Twitter
    2008–2010: Palm

  6. And do what with them? Develop games for consoles? EA is already making games for the Apple platforms. What possible additional value does acquiring them yield?

    Big-time game developers are in a soulless feast-or-famine business. This makes zero sense.

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