EA's announcement that it would be going private in a buyout led by the Saudi Arabia PIF and Silver Lake wasn't the only major deal the company made in 2025. It also struck a deal with Stability AI, a generative AI firm that "is unlocking the power of open-source generative AI to expand human creativity," according to its website.
At the time of the deal, Stability AI chief executive officer, Prem Akkaraju, said, "EA is a pioneer in interactive entertainment and understands that innovation begins with the creator. At Stability AI, we put creators at the center and build around their specific needs. By embedding our 3D research team directly with EA’s artists and developers, we’ll unlock the next level in world-building power."
For EA's part, Rick Stringfellow, the head of visual content for the EA Entertainment division, said, "EA has always been, and will continue to be, at the forefront of technology, innovation, and play. Partnerships like this are how we evolve the craft of game-making and give our teams the tools to tell deeper, more meaningful stories."
Now, in a new interview with Variety, EA's chief strategy officer, Mihir Vaidya, digs further into why EA made the deal, and what Vaidya believes the deal does for EA as it moves into the future. "One thing we're super proud of at EA is that, over the course of our history, I think we've taken great pride in our heritage as electronic artists."
"And to be a great electronic artist, you need to have the very best technology and tools available to you. That’s been a core principle of how we’ve kind of thought about technology, is we always are looking out there for the very best technology and solutions for our creatives."
That's the spirit with which, according to Vaidya, EA found Stability AI, and eventually decided to partner with the company because of what it was capable of and willing to do. "What really stood out to us and why we ultimately decided to partner with Stability was one of the things that we talked to all of our developers was this notion that we can’t control the tools that are available. Certainly there’s gaps in capabilities, but even when the tools were capable, they’re not controllable. That’s incredibly frustrating for anyone in order to see their utility in the context of their work. And when we unpack, well, why are they not controllable?"
"...Turns out you need deep customization. Customization means you have to be able to unpack the model, understand where representations of different concepts and capabilities lie, and then be able to preserve those representations but adapt them at the same time to your specific needs. It’s not a trivial task. It’s very, very difficult. And you need a partner that is able to do that. And Stability was not only able to do that, it was willing to do that."
One thing worth remembering, as is noted in the interview, we won't see any 'fruits' of this deal for a while. GenAI tech is still finding its place within game development, if it even has a place to begin with, and that's without getting into the concerns and real disdain developers and players have for the technology.
On those concerns, namely, ones from developers worried that GenAI tools will simply replace them, Akkaruju believes that, while there may be some developers laid off because of GenAI tools, ultimately, there will be more jobs in game development as the industry expands because of the technology, equating it to how ATMs did not bring about the extinction of bank tellers.
"If you add or introduce technology into making something more efficient, what ends up happening is the workforce actually expands. Labour is not fixed, and so if it was fixed, you're absolutely right, that would truly eliminate the jobs," Akkaruju said.
"When those [ATMs] were rolled out in America in the '80s, every bank teller in America was up in arms, and they said, 'This is what we do. We give withdrawals, we take deposits, and you're taking our jobs away with this machine.' And there's more bank teller jobs today than in the '80s, if you go point for point. And why is that? Because the banks did an analysis, and they went from 30 people that they needed for each location down to 13, and they did what came naturally, they expanded."
A fine observation to make, when, as the chief executive officer of the GenAI company, you're not going to be the one losing your job when those layoffs come. And right now, when looking at EA specifically, due to the ticking time bomb that is the $20 billion debt the company is taking on as part of its buyout, layoffs are practically the only thing developers at EA can look forward to. And that's without getting into other major flaws between the immediate and tangible benefits ATMs brought, versus the predominantly theoretical benefits executives tout for GenAI tech that we won't see today or tomorrow, and potentially not for several years.
Vaidya, for his part, said he did not want to "trivialize" the concerns developers have about layoffs due to the introduction of GenAI tools, while still ultimately taking a similar view to Akkaruju. "AI can play a role in augmenting a particular task, what's naturally going to happen is there's going to have to be a recomposition of certain tasks...Over the course of time, there's naturally new job families that also emerge."
"I think the most important thing to do, if this is the case, is to be on the front foot and lead the conversation," Vaidya continued. "Because otherwise, what happens is this notion of disruption kicks in because you're not ready for that change. And as a result, this is especially the case if if that disruption comes from folks that are not insiders in the industry, but outside of it. And that's one of my biggest worries is that we become observers, as opposed to participants and leaders in this conversation, because market forces will lead to AI being deployed at scale. And there are many players outside of the creative industry today that are trying to leverage AI in the space of sport and entertainment."
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