Skip to main content

Pachter: Why EA will win

The VG247 logo in white on a red background
Image credit: VG247

There's a lengthy piece here from Wedbush Morgan analyst Michael Pachter on why he thinks EA will succeed in its bid to acquire Take Two. Snip:

If the offer appears unacceptable to shareholders, we think EA will withdraw it, and we expect EA to compete more aggressively in sports, by cutting price dramatically. By our reckoning, EA could cut pricing on its basketball and hockey games by as much as $30, incurring pain, but causing Take-Two's operating profits to be halved for the fiscal year. We think that such a strategy will force Take-Two back to the bargaining table.

Gripping. Hit the link for more.

Read this next