Electronic Arts ( EA Quick Quote EA - Free Report) and Lucasfilm Games recently announced that they would work together to continue delivering new, world-class gaming experiences within the Star Wars universe. Respawn Entertainment, acquired by EA in 2017, is leading the production and development of these new projects. Respawn Entertainment is best known for games like Titanfall, Apex Legends and Star Wars Jedi: Fallen Order. There will be three upcoming game titles in the Star Wars game Franchise. The Respawn team, led by Stig Asmussen, is already working on the next game in the Star Wars Jedi series. Two new teams will join and work on enhancing the Star Wars gameplay experience across multiple genres. The second title is a Star Wars first-person shooter game, which is being developed by Peter Hirschmann, game director, Respawn Entertainment. The third title is a Star Wars strategy game, which will be developed via production collaboration between Respawn and Bit Reactor, a game-developing studio formed by games industry veteran Greg Foertsch. Expanding Game Portfolio to Aid Top Line
EA has positioned itself as one of the global leaders in the digital interactive entertainment market. The company’s digital and live services revenues are expected to gain from portfolio strength on the back of franchises including
Apex Legends, FIFA, Madden NFL and Star Wars. For the last few years, EA is focused on expanding its game portfolio. Recently, EA launched an expansive update to its hit mobile game EA SPORTS FIFA Mobile. The latest major update of the game, initially launched in 2016, provides a major overhaul and an array of enhancements to gameplay, visuals and audio. The update also improves its authentic and best-in-class gameplay experience for gamers and football fans all around the globe. The company also recently confirmed Feb 25 as the global launch day for GRID Legends, its all-action cross-platform racer game. The game will feature the widest variety of game modes, including a deeper Career with more than 250 events, a story ode entitled ‘Driven to Glory’, the return of Drift and Elimination and the introduction of Electric Boost racing. In November 2021, EA launched its highly-anticipated first-person shooter game, Battlefield 2042. The game, powered by the Frostbite game engine, featured up to 128 player matches on the latest consoles and PCs. Gaming Companies Riding On Acquisitions To Beat Competition
The gaming industry is also expected to witness a series of acquisitions in the past few months.
Recently, Microsoft ( MSFT Quick Quote MSFT - Free Report) announced that it is planning on making a major push into the video game space with the just-announced plan of acquiring Call of Duty maker Activision Blizzard ( ATVI Quick Quote ATVI - Free Report) Microsoft would pay $95.00 per Activision share. The total transaction value will amount to $68.7 billion, making it the company’s largest deal ever. Take-Two Interactive ( TTWO Quick Quote TTWO - Free Report) announced that it would acquire all of the outstanding shares of Zynga. The acquisition, as announced, is a cash and stock deal, implying an enterprise of $12.7 billion. The Zynga acquisition, once completed, will establish Take-Two Interactive as one of the largest publishers of mobile games in the lucrative and fast-growing industry of interactive entertainment. The deal would unify Take Two’s top-class portfolio of PC and console games and Zynga’s leading mobile franchises. In September 2021, EA announced the acquisition of Playdemic Studio from Warner Bros. Games., part of WarnerMedia owned by AT&T, to expand its sports gaming portfolio and reach more players worldwide. This Zacks Rank #3 (Hold) company has a strong slate of game releases for the rest of fiscal 2022 that are likely to boost the top line. The availability of EA SPORTS Madden NFL 22 and Lost in Random, besides the upcoming launch of EA SPORTS FIFA 22, is expected to be a key growth driver. Electronic Arts’ shares have dropped 8.5% in the past year compared with the Zacks Toys - Games – Hobbies industry’s decline of 12.9% and the Consumer Discretionary sector’s fall of 19.3%. You can see . the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here