Rockstar is the key as EA gets hostile in takeover bid
by Xav de Matos 
{ Mar 17th 2008 at 4:15PM }
Speaking to the BBC, EA chief executive John Riccitiello was clear that the primary interest EA has in acquiring Take Two Interactive is the company's strong roster of development teams, specifically that of Rockstar Games.
"The big headline here is that our primary interest is in Rockstar and the intellectual properties around Rockstar," Riccitiello said as the April 29 release of Grand Theft Auto IV looms in the distance. Sports gamers have long stated their frustration with the attempted acquisition because it would remove EA's only competitor in the simulation-sports market. Riccitello explained that the sports angle was a secondary thought, "sports games are secondary consideration here," he explained.
While Take Two had declined the initial offer from EA for $2 billion, the acquisition has recently gone hostile. In order to purchase the company from under Take Two executives, EA has put in a cash tender offer to purchase all outstanding shares of common stock for $26 each on last Thursday targeting shareholders. Take Two executives have since asked shareholders to hold out on the offer, which is set to expire on April 11 - a mere 18 days before the launch of the GTAIV cash-cow. With the news that EA is targeting new shareholders that are looking to unload a headache, this news looks to get more interesting by the day.
Reader Comments (Page 1 of 1)
Deck @ Mar 17th 2008 4:22PM
Damnit EA, just stop already. Please!
Oh and of course sports title's are a secondary priority. They continue to chug out the same shit every year. Updated rosters, maybe a tad better graphics but they are essentially the same thing over and over.
I just hope that T2 can hold out a little bit longer...
Vader582 @ Mar 17th 2008 4:23PM
This is not going to end well.
Tapio @ Mar 17th 2008 4:26PM
Drop it ea..
Jcarpio @ Mar 17th 2008 4:29PM
Good Bye 2k Sports.. You had a good run.
I guess my days of playing sports sims on console is coming to an end.
mcwattersm @ Mar 17th 2008 4:32PM
When is this going to end? EA is just going to buy out all minor and major company that even considers making a console game until it has no competition and can just spit out shitty games until consoles die in 10 years.
SadisticHam @ Mar 17th 2008 4:34PM
Just drop dead EA. Whats worse is they make out like there doing people a favor. Claiming they improve games.
Sure, the first game they bring out under you might be ok but then you leech the shit out of it non-stop and the game gets crapper and crapper every single time. The EAffect, just piss off and die somewhere, let all those devs go so they can make real games again and not shit.
kyle @ Mar 17th 2008 4:47PM
ea seriously, jus stop it, take two is a great company, especially for rockstar games like gta, who knows what would happen when ea owns take - two and i dont want 2 see that
Neuromancer @ Mar 17th 2008 4:52PM
This is just to depressing for words. If it was just EA trying to buy Take Two as a private company Take Two could just tell them to pound sand. But as a public company with shareholders who (presumably) care more about their stock going up than belief in a product, there's no hope.
Someday all there's going to be left is EA and 99% of all games will be pure shit.
Adam @ Mar 17th 2008 4:59PM
The only reason ea is where they are is idiots that bought there games.Im sure everyone here is guilty of that.
rell.mc @ Mar 17th 2008 5:02PM
This can only turn out bad.
Jay @ Mar 17th 2008 5:03PM
EA is starting to look a lot like the company that everyone hates and churns out unfinished products *cough* 360 *cough* vista *cough*
stinger503 @ Mar 17th 2008 5:06PM
Seriously all the smaller gaming companies that aren't EA need to get together and form some sort of gaming company alliance. Otherwise we're going into a dark age of gaming. Honestly EA is to gaming to what the Catholic Church was to the Dark Ages.
Bluemanrule @ Mar 17th 2008 5:15PM
EA started off fine. Coach K Basketball is still the greatest basketball game ever. But....T2's shareholders may not accept the offer and pass. That option is still there. Besides, their stock price will increase substantially after the game hits. According to analysts, 6 million GTAIV projections in year one give Rockstar a strong basis to dispute valuation.
As a businessman myself, I personally would reject the offer and take the risk on a risk-free GTAIV. Don't even get me started on DLC. On another note, the 2k sports series is very popular and I'm sure EA did not include the consumers protesting anything EA and all its products.
If EA is serious, that price offer will return around $28.5 or $29 per share.
Bluemanrule @ Mar 17th 2008 5:21PM
EA started off fine. Coach K Basketball is still the greatest basketball game ever. But....T2's shareholders may not accept the offer and pass. That option is still there. Besides, their stock price will increase substantially after the game hits. According to analysts, 6 million GTAIV projections in year one give Rockstar a strong basis to dispute valuation.
As a businessman myself, I personally would reject the offer and take the risk on a risk-free GTAIV. Don't even get me started on DLC. On another note, the 2k sports series is very popular and I'm sure EA did not include the consumers protesting anything EA and all its products.
If EA is serious, that price offer will return around $28.5 or $29 per share.
Adam @ Mar 17th 2008 5:26PM
@Jay
Cough *vista* Cough *360*
Yeah atleast sony decided watching movies was more important than gaming in a GAME console.
As for vista it aint perfect but its better than shit like linux where the average user has to take a course just to install software.Not to mention shit like apple where its lack of games and programs kill it.
Ill take windows over any other os out there.
AFAI @ Mar 17th 2008 5:28PM
F U EA.
Brento @ Mar 17th 2008 5:30PM
Wouldnt it be awesome if EA bought out GTA!!!! They could then make it strip it of every single feature before it's released and then re-release it every year and add a few features back. Also they could put in 12 cars for the entire game and make you people buy more cars in endless micro-transactions. They could reeeaallly make a bundle off this deal.
TheBlahMasta @ Mar 17th 2008 6:01PM
Come on now...EA taking over is probably the dumbest idea I've heard in a LONG time. EA has great games without needing to buy-out every competitor that just makes the games produced by both companies better. So, if EA were to read this, which I hope they do, don't take T2, leave them alone, stop trying to make the gaming industry a monopoly...
Adam @ Mar 17th 2008 6:04PM
I got a feeling this has to do with there whole console idea.They figure buy up the competition and ready releases for the home game console.Make a shit load of exclusives including gta games and they will destroy the competition.
ZEBRA NINER @ Mar 17th 2008 6:06PM
Meh... Business as usual. Unfortunately, the people in charge of any company feel passionately about money, and not the product they sell (no matter what they claim publicly). It's just a means to an end. That being said, it's all about money for both sides, not about fans.
It might be nice to pretend that EA is a big evil empire trying to consume the tiny company of Take Two to further it's dark grasp upon all that is good. It's also nice to imagine that Take Two holds its consumers above all else. When in reality, EA just didn't offer enough cash, and the people in charge of take two are also just as greedy.
The bottom line is the bottom line, and how many zeros are in it.
Shayneroz @ Mar 17th 2008 6:17PM
The thought of Bioshock 2 surrounded filled Need for Speed-Carbon Underground Pro Street Edition and I can't even fathom what GTA:EA would be like.
Shayneroz @ Mar 17th 2008 6:17PM
The thought of Bioshock 2 surrounded filled Need for Speed-Carbon Underground Pro Street Edition and I can't even fathom what GTA:EA would be like.
Neuromancer @ Mar 17th 2008 6:28PM
@Adam
"Not to mention shit like apple where its lack of games and programs kill it."
Right, Apple's doing terrible right now. It's because no one wants stable, easy to use, visually attractive computers/MP3 players. Clearly, all computer users buy computers based solely off games.
I'm not sure what you do for a living but you should try your hand at industry analyist, you could be the new Michael Pachter!
SadisticHam @ Mar 17th 2008 7:01PM
@ Neuromancer while i agree Apple is doing well, it's only because their appealing to the idiot.
Selling over priced hardware and marketing it to morons, making out it's trendy and hip like the ipod and people lap it up. It's by no means great windows has some advantages over it and vice versa. It's just the cool thing to rebel against windows.
Momo @ Apr 15th 2008 6:45AM
If an apple's so good, why do you need to run Windows and Linux?
my window's PC can run both fine, I just chose not to cause there isnt anything on either that takes my interest.
Though I dont feel your an moron for buying an apple.
Now back to the topic on hand, I dont feel that EA should buy Take-2, but who am I to say otherwise, if they do, if people really want to feel better about it then people should just boycott the EA brands...
45nm @ Mar 17th 2008 7:14PM
Old news...
Isn't EA obese enough already? By the time they acquire T2 (never), it wouldn't surprise me if the company died from a stroke of shitty software. How bout anouncing (something good:) like HP:3 or doing something more productive than just swallowing every developper out there...
bloatedfish @ Mar 17th 2008 8:18PM
@SadisticHam - Well the key thing you are forgetting is us "moron" apple users can nowadays enjoy running both OSX, Linux and Windows. The funniest thing being that Windows is generally more stable on a Mac laptop.
So because I'm such a "moron" I now can enjoy the best of both worlds.
Also if I want to upgrade my Macbook's RAM or Hard Drive it doesn't void my warranty unlike with some other laptop manufacturer's. God Dammit I wish I wasn't such a "moron" for buying this Macbook ;)
Jon @ Mar 17th 2008 9:03PM
My god I hate EA...yet another AAA franchise for them to destroy.
Say goodbye to GTA as we know it if EA gets ahold of this company. Obviously we'll still see GTA games, but they'll be rushed out the door to maximize profits and we all know that rushed games are suck games.
Not only that, but no more competition in the sports gaming genre.
DEATH TO EA!!!
MonkeyShart @ Mar 17th 2008 9:18PM
FUCK YOU FOREVER EA and the horse you rode in on and the one that you will ride out on and with luck it will be on fire, you make me puke in my hands again FUCK YOU
alecks @ Mar 17th 2008 10:36PM
I, like most people, dislike ea for their craptastic sequels. Although look at gta 3,VC and SA, - all pretty similar with minor improvements.
Its not EA to blame for the crappy games - ITS the morons who continuously go out and buy them and support the endless sequels. If everyone went out and only bought innovative rpg's, ea would be pumping them out. oh how sweet it would be !
Instead you idiot americans go buy the crap, like halo 3 and madden 08 (2nd quarter edition ;D). Also before you say WHOA - its not just americans, maybe so, but you people have the numbers that make the difference unlike my little island.
Anyways if i was in take two or rockstars shoes i would have taken the money, let the idiots take over and then leave to form my own company. Then this acquisition actually could help produce some good games.
Consolcwby @ Mar 17th 2008 11:04PM
As I was reading this, I was eating cookies...now my tum don't feel so good... =S
Actually, I can see the stock holders taking EA's offer IF the offer is large enough. And, although I don't hate EA, I would hate to see less competition in this market. I'm afraid it may only be a matter of time on this one.
Halonut1 @ Mar 17th 2008 11:55PM
"GRAND THEFT AUTO 2009: MADDENS REVENGE" "Featuring top EATrax by amazing artists such as kevin federline and my chemical romance."
I swear to god..i have seen the future..and i wish to die.
Drago Dracini @ Mar 18th 2008 12:10AM
EA = The antichrist of video games.
Wolfster @ Mar 18th 2008 1:20AM
It would help if you guys wouldn't buy EA games! That's how they're managing to stay around. You should also tell your friends to stay away from their products....
George Arauz @ Mar 18th 2008 9:37AM
Man.. i got into the wrong business
EmptyEnergy @ Mar 18th 2008 10:22AM
Sure its been said before, don't play EA games. Yes I know its hard but the quickest way for the company to hear you is speak with your $$$, instead of typing 'F this', 'F that'. You should be more proactive in a resolution rather than a whiny bastard.
Yes EA is a company that just spews out the same game over and over again, but the community helps it set the 'new sales record'.
Josh @ Mar 18th 2008 2:35PM
i'm holding out with my measly 10 shares... for now. dammit, EA. why do you have to pull this crap? for the sake of the industry, STOP
EvilWalksWithMe @ Mar 19th 2008 4:51AM
EA will ruin Rockstar. All their great limit pushing games will just turn to crap piled to the brim with advertising!
To be honest, I'd rather see Microsoft buy Take Two than EA!
Brian @ Apr 6th 2008 8:50PM
being a fan of the command and conquer series and watching westwood studios being taken over by EA was upsetting, although the new command and conquer games RA2 and Tiberium wars have been great, EA did make generals and renegade (which truly sucked) would have been interesting if Westwood was still around...
EA arent the biggest games developer SEGA are, wish EA would do what mircosoft do buy over the developers but let them do what they do best make quality games!
EA dont do this, they have some terrible titles out there, but some pretty good ones... remeber what Vince McMahon done buying over WCW? no competition now only john cena who cant be compared to the ROCK, Austin, STing or Hollywood hogan, this is whats going to happen to the games industry if were not careful... but will take years yet