Labour union CWA Canada is urging the Canadian government to scrutinize the proposed US$55 billion acquisition of video game giant Electronic Arts (EA).
In a letter sent to Canadian Minister of Industry Mélanie Joly, the union expressed concerns that the deal would undermine Canada’s massive gaming industry and pose a threat to national security.
A group of investors is behind the buyout offer, including Saudi Arabia’s Public Investment Fund (PIF) and Affinity Partners, the latter of which is run by U.S. President Donald Trump’s son-in-law, Jared Kushner. EA, meanwhile, has a significant presence in Canada with studios like EA Vancouver (EA Sports FC and NHL), BioWare Edmonton (Mass Effect, Dragon Age), Montreal’s Motive (Dead Space, Battlefield) and Glu Toronto (Kim Kardashian: Hollywood).
In the letter, CWA Canada warned that Saudi Arabia’s ambitions to expand its own gaming footprint will likely lead it to shrink EA’s presence in Canada, leading to layoffs, wage suppression and other negative impacts. Further, the union argues that Canadians’ data and EA’s technology would be put into the hands of another foreign government, which could lead to a lack of accountability and transparency over how they’re used. It specifically cited Canada’s Investment Canada Act (ICA), which is intended to uphold safeguards against “foreign actors that attempt to gain ownership or control of sensitive Canadian goods, technology, infrastructure, or personal data” for malicious reasons.
On top of all of that, CWA Canada notes that such a buyout could jeopardize the United Videogame Workers-CWA Local 9433 (UVW-CWA), an industry-wide union for video game workers in the U.S. and Canada. CWA Canada added that nearly 10,000 people in the gaming industry have signed a petition calling on governments to challenge the proposed EA takeover.
It should also be noted that other concerns have been raised in regards to the proposed acquisition. For one, Kushner’s close affiliation with Trump. We’ve already seen how companies that are chummy with the U.S. president are taking actions just to please him, including David Ellison-owned Paramount greenlighting projects like Rush Hour 4. Meanwhile, the Saudi government has been accused of numerous human rights violations, including ordering the murder of Washington Post journalist Jamal Khashoggi after he had been vocally critical of the regime.
When the acquisition was announced in September, it was expected to be completed in June 2026. While we haven’t heard much about it publicly since, The Wall Street Journal reported earlier this week that it remains on track. It remains to be seen whether governments, including Canada’s, will take any action against it.
Image credit: EA
Source: CWA Canada Via: Game Developer
