EA Acquiring Valve?
According to a recent report, Electronic Arts was willing to dole out up to $1 billion to acquire Valve.
There have been ongoing discussions and attempts by EA to acquire Valve, which is considered by EA’s COO Peter Moore to be “on the cutting edge of the future of this industry.”
Valve co-founder, Gabe Newell, however, expects to see the company disintegrate before it undergoes acquisition. According to him, ”It’s way more likely we would head in that direction than say, ‘Let’s find some giant company that wants to cash us out and wait two or three years to have our employment agreements terminate.”
$1 billion might sound like a lot of money for EA to offer, but Valve’s current value is estimated by Wedbush Securities analyst Michael Pachter to be around $2.5 billion. Valve‘s digital distribution service Steam is its most important asset.
Valve‘s successful climb up the industry doesn’t show any signs of slowing, as it moves into new territories such as hardware development.