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Electronic Arts misses quarterly bookings estimates ahead of Saudi-backed buyout
['Tue', 'August At Am Gmt', 'Min Read']
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Aug 3 (Reuters) - Videogame publisher Electronic Arts missed expectations for first-quarter bookings on Monday, hit by a post-launch decline in engagement for its "Battlefield" franchise ahead of its Saudi-backed acquisition.
Here are more details:• Despite having a strong launch last year, "Battlefield 6" has struggled to maintain player engagement, raising concerns about its long-term live-service revenue potential.
• The Redwood City, California-based company relies heavily on in-game spending to extend the life cycles of its titles and derive consistent revenue.
• Electronic Arts is likely to feel the heat from Take-Two Interactive's upcoming blockbuster release of "Grand Theft Auto VI", which is expected to command player attention and funnel discretionary spending away from rivals.
• The gaming company reported first-quarter bookings of $1.35 billion, missing analysts' average estimate of $1.48 billion, according to data compiled by LSEG.