EA interested in Nintendo?

R

radioheadrule83

Banned
I saw the thread about how much it would take to buy EA, and got to thinking... who could EA buy? They're already circling Ubi like a vulture...

http://www.gamesindustry.biz/content_page.php?section_name=pub&aid=1180

This news article is over a year old, and has probably been dismissed or refuted time and again since it was posted, but just check out the opening paragraph:

Evidence from the financial world suggests that Electronic Arts is gathering an "acquisitions warchest" of several billion dollars in preparation for a major spending spree later this year - with even Japanese giant Nintendo considered to be a potential target.
Click to expand...

Yes, we're sceptical. Very sceptical in fact; but the radical rumours circulating on the markets suggest that EA could be contemplating a half-cash, half-shares bid for Nintendo - which despite its legendary independence, has been weakened recently by its own huge reserves of cash and is considered by some to be vulnerable to a takeover bid.
Click to expand...

Now that would be hilarious.
 
You laugh, but the prospect of all companies, Nintendo, getting Madden exclusive to their console would send me into a laughing fit for days.
 
What would be ironic would be a merger with Nintendo, making EA exclusive to Revolution and screwing Sony and MS in the process.

Not that I think it's likely to happen. :p
 
let's not go crazy over a 2 year old article. EA's latest shopping spree didn't include Nintendo. I think they will calm down after they got all the big sport lichenses.
 
EA doesn't have enough money to buy Nintendo, Nintendo is probably worth more as a company.

It would have to be a merger, and I doubt that'd happen.
 
Why would EA buy Nintendo and stay exclusive to themselves? This is EA they would imediately kill any harware except handelds then continue the whoring of Mario and company on every platform imaginable, now THAT equals $$$ for them.
 
EA and Nintendo are too close in value for one to even consider buying the other.

Now, a merger, on the other hand, is plausible, in terms of business.

But, realistically, that won't happen.
 
radioheadrule83 said:
I saw the thread about how much it would take to buy EA, and got to thinking... who could EA buy? They're already circling Ubi like a vulture...

http://www.gamesindustry.biz/content_page.php?section_name=pub&aid=1180

This news article is over a year old, and has probably been dismissed or refuted time and again since it was posted, but just check out the opening paragraph:
Click to expand...

You got it the way round, Nintendo could buy EA in cash.
 
GaimeGuy said:
EA and Nintendo are too close in value for one to even consider buying the other.

Now, a merger, on the other hand, is plausible, in terms of business.

But, realistically, that won't happen.
Click to expand...

How much is EA worth?

Dont forget that nintendo has more money in the bank than sony, microsoft is the only firm in the industry that could buy nintendo.
 
which despite its legendary independence, has been weakened recently by its own huge reserves of cash and is considered by some to be vulnerable to a takeover bid.
Click to expand...



Uh yeah, nothing weakens a company quite like huge reserves of cash.
 
1. Ea can't buy Nintendo. Even with shares.
2. Nintendo could buy a very large portion of Ea, but it would take a chunk.
3. Ms couldn't buy Nintendo unless they want to empty their coffers.
4. Sony could only do a share deal.
 
I'd love to hear what the speculative sources were. Nintendo has been historically very careful about buying back stock on a year by year basis, and considering the astronomically high sum Microsoft offered in the past, Nintendo wouldn't settle for anything less than a beneficial merger even if the chips were down as much as the article indicates..

What happened to the good old days of Nintendo-sega, Nintendo-capcom and Microsoft-sega rumors?
 
EA isn't even worth as much as Nintendo. Only Nintendo could lead a full integration between the two companies, and it would require both parties agreeing to leverage their respective values beyond their cash supplies.

EA doesn't have the money and couldn't secure the financing to outright acquire any company too much larger than Ubi, actually. That means no Sega Sammy either.
 
This would give EA their own console in a way - much as it as been discussed before and it would be an easy way for them in...they'd have a much better chance in Japan than Microsoft and with their sports titles give them and Nintendo more power in America.
 
Lazy8s said:
EA doesn't have the money and couldn't secure the financing to outright acquire any company too much larger than Ubi, actually.
Click to expand...
I'm sorry, but that's complete and utter bullshit.
 
Crazymoogle said:
I'd love to hear what the speculative sources were. Nintendo has been historically very careful about buying back stock on a year by year basis, and considering the astronomically high sum Microsoft offered in the past, Nintendo wouldn't settle for anything less than a beneficial merger even if the chips were down as much as the article indicates..

What happened to the good old days of Nintendo-sega, Nintendo-capcom and Microsoft-sega rumors?
Click to expand...

I believe MS offered $20 billion for Nintendo, right?
 
thefit said:
Why would EA buy Nintendo and stay exclusive to themselves? This is EA they would imediately kill any harware except handelds then continue the whoring of Mario and company on every platform imaginable, now THAT equals $$$ for them.
Click to expand...

Or they could be exclusive and pay no royalties and make even more money on every piece of shit they produce.
 
Code_Link said:
$25 Million, actually.
Click to expand...

dr.evil.jpg
 
Monk said:
Or they could be exclusive and pay no royalties and make even more money on every piece of shit they produce.
Click to expand...

nah, I think they'd be more profitable selling across multiple platforms.
 
neptunes said:
nah, I think they'd be more profitable selling across multiple platforms.
Click to expand...

scratch that, maybe they'd be just as profitable if not more.
Assuming their console actuallys sells well.
 
Drensch:
3. Ms couldn't buy Nintendo unless they want to empty their coffers.
Click to expand...
Nah, it wouldn't be too noticeable. MS makes billions more than they can spend... every quarter... and is projected to continue that into the foreseeable future. They could secure larger loans than just about anyone with that trackrecord, reaching obscene amounts if they were willing to go into high-interest payments (which is not a danger with their guaranteed cash flow.)

snapty00:
I'm sorry, but that's complete and utter bullshit.
Click to expand...
They only have a few billion in cash. The companies with market caps of several billion could never be bought outright with that.
 
THE E(A)MPIRE STRIKES BACK

It is a dark time for the industry. EA software has driven
competing forces out of business, or weakened them that they
might someday be bought by THE EMPEROR PROBST.
Evading the dreaded imperial might, a group of freedom fighters
led by no-one in particular has established a secret base on the
video game consoles of Microsoft, Sony and Nintendo.
The evil lord DARTH MATTRICK, obsessed with finding acquisition
targets, has dispatched thousands of remote probes into the far
reaches of teh globe...

death_star2.jpg


"Lord Mattrick, we are honoured by your presence!"

MATTRICK: "You may dispense with the pleasantries, Commander. I
am here to put you BACK on schedule!"

"The Emperor asks the impossible. We've bought Origin, Westwood, Bullfrog and Maxis. We need more men!"

MATTRICK: "Perhaps you can tell the Emperor himself when he arrives"

jerjerrod_big.jpg

"Probst is coming here? We shall redouble our efforts!"

darth_vader_2.jpg

MATTRICK: "I hope so commander, for your sake. Larry Probst is not as forgiving as I am... I expect DICE, Nintendo, Microsoft, Sony, Burger King, Starbucks and McDonalds assimilated by lunchtime"
 
Interested? Absolutely. What company isn't interested in Nintendo's IPs? Seriously.

Plausible? Heck no. Microsoft can't even do it.
 
Nah, it wouldn't be too noticeable.
Click to expand...

I'm assuming the dividend thing went through, that would have taken some serious bank out of their accounts. I'm also assuming no shares of Ms up. Then you're looking at at least 10 billion at least for solid chunk of Nintendo. That's a hard sell. They have 70b in total assets. If they still do the dividend thaing that number is going to drop significantlyby at least half.
 
CoryCubed said:
This would give EA their own console in a way - much as it as been discussed before and it would be an easy way for them in...they'd have a much better chance in Japan than Microsoft and with their sports titles give them and Nintendo more power in America.
Click to expand...


An all EA console... /shudder
 
bellows1.jpg

"Hey guys, we've arrived in the 'EA buys Nintendo thread'."
"You take point."
"Negative."
"Cover me, cover me, cover me."
"Negative."
"Hhhhhhhhhold this position."
 
Fuckers we know EA reads this board so stop giving them ideas, this is almost as bad as EA buying bioware.

On the other hand

Super Mario kart street
Super Mario golf street
Etc…

Yeah that would be awesome
 
WAIT WAIT WAIT.

This all makes sense now.

EA locks in exclusivity with sports licenses. EA buys Nintendo. The EA Revloution is released in 2005 with an exclusive slate of sports , platform, adventure games as well as Nintendo's in house titles.

Yes. I see it now.
------------------------- (/end delusions of granduer}

Seriously though, from the busienss side, there is a lot of synergy between EA and Nintendo. EA is strong with Sports and casual branded 'American' games. Nintendo is strong where it has traditionally been strong. There is not a lot of crossover product wise.

Also consider this. Despite having a major development presense in the North America, Australia, Europe and even in China, EA has no capabilities in Japan. And where are Nintendo's premiere teams located? Japan. From a horizontal (integration) standpoint there's barely any overlap as well.

The big hurdle for both companies to consider is which business model to follow.

If the combined company goes EA's model, Nintendo would have to give up its console.
If they go console specific in an attempt to create a console that would dominate like the PS2, then they go Nintendo model.

If, and that's a big if, NintendoEA or EANintendo can create a console as dominant as the PS2, EA wouldn't need to be a third party any longer. Profits from the machine would be enormous and EA doesn't have to pay royalties to its own games, since it owns the console. Enormous profits. Greed. America.

I say its not bogus.
 
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