EA To Acquire Game Maker

Electronic Arts said last Thursday that the company is buying VG Holding Corp. for $860 million. VG Holding is a video game maker that owns both BioWare Corp. and Pandemic Studios. These two video game makers specialize in action, adventure and role-playing games, and have 10 games under development, including six wholly owned games.

This acquisition demonstrates once again both the complexity of video game development and the money to be made from making and selling successful games. Successful companies with promising games in the pipeline have a high valuation because of the expectation that any good game can be a billion-dollar seller.

Posted by Peter Varhol on October 16, 2007 at 11:57 AM


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