EA Launches a Social Media App to Strengthen Its Empire

EA's partnership with FIFA began in 1993 (AFP)

EA, the leader in sports gaming, has announced its intention to release a new app that integrates all of its sports games into one platform. This app functions like a social media platform tailored to sports gaming enthusiasts, particularly those who enjoy EA’s games and the sports they represent.

The app simplifies access to news related to sports and EA’s various games. It also includes a communication feature resembling old forums, alongside a set of challenges related to EA’s games and the sports they cover.

This announcement coincides with the release of EA’s new football game, FC 24, which has replaced the FIFA franchise. EA lost its rights to the FIFA name in 2022 after a long partnership, but the company continues to lead the sports gaming industry.

The successful relationship between EA and FIFA has come to an end due to FIFA's desire to double the value of the exclusive contract (Reuters)

 

Losing the FIFA Rights, but Gaining Success

EA’s partnership with FIFA began in 1993, lasting over 30 years and generating more than $20 billion annually in sales across platforms. Despite losing the FIFA name, EA holds exclusive rights with over 300 entities, including clubs, players, stadiums, and advertising companies. The only real loss is the FIFA name, with the game now rebranded as EA Sports FC (EA Sports Football Clubs).

According to a report by The New York Times, the partnership ended because FIFA wanted to double the cost of the exclusivity agreement, which EA refused. While the FIFA name has been available for purchase for over two years, no major competitor has stepped in due to the lack of significant competition in sports gaming development.

On another front, EA had been preparing for this moment for years. A key turning point for the company was the introduction of the FIFA Ultimate Team mode (FUT), a multiplayer mode based on real-life matches. Players can build teams, compete in challenges, and earn rewards while trading players in a simulation of team management. This mode, though initially developed by a fan and later acquired by EA, has since become a major revenue generator, bringing in $1.7 billion in the last quarter of the year.

EA has transformed into a company that relies entirely on selling multiplayer games that include in-game purchase mechanisms (Sports Today)

A Comprehensive System

The end of EA’s relationship with FIFA marked the beginning of a new era for the company. EA now operates with full autonomy, only needing to secure licenses for players, teams, and stadiums—costing much less than the FIFA license.

With full control over its games, a highly successful multiplayer mode, and a suite of sports titles promoting each other, EA faces little real competition in the sports gaming market. Yet, the company continues to seek ways to expand its influence and connect sports fans more deeply to its offerings, a goal it plans to achieve through its new social media-like app focused on sports and its FC 24 game.

EA has transformed into a company that relies entirely on selling multiplayer games that include in-game purchase mechanisms (Sports Today)

The Final Piece of the Empire

In recent years, EA has shifted toward monetizing multiplayer games with in-game purchases. This shift has generated over $28 billion in revenue since 2016, more than doubling the income from standalone game sales during that period.

Though FUT doesn’t offer a radically new experience, it has strengthened EA’s bond with players, encouraging them to purchase and invest in the game. This is precisely what EA aims to replicate with the upcoming social media app.

The app will complement EA’s experience, allowing users to follow sports news from a trusted source with global correspondents, stay updated on the latest game news and tips, and engage with the worldwide FUT community. Instead of jumping between various platforms for sports news or FUT updates, users can now manage it all in one place.

Currently, the app is in its testing phase, launched experimentally in Spain. Depending on the results and features, it could either be a major success or fade into obscurity.