EA shares tumble on Battlefield 4 announcement
Battlefield 4 is supposed to be EA’s cash cow this year, but the game is off to a rough start, to put it mildly. Battlefield 4 has been plagued by so many issues, many players have given up on the game for now. We know several who even got a refund for the game.
Yesterday, EA publicly acknowledged the problems Battlefield 4 is facing, and said that all other projects at DICE are now on hold until BF4 is fixed. Wall Street didn’t like that at all, which resulted in EA’s shares dropping almost 7% yesterday.
EA’s announcement was bad news for investors, who were hoping that most of the DICE team had moved on to make the Battlefield 4 expansions and other projects by now — projects such as Mirror’s Edge 2 and Star Wars Battlefront 3.
DICE is one of the biggest and most talented studio EA owns, and the Battlefield franchise has grown into one of EA’s most lucrative ones. The previous game in the series, BF3, sold over 15 million copies. Additionally, EA sold over 5 million BF3 Premium subscriptions. Overall, it’s estimated that BF3 earned EA over $1 billion overs its lifetime.
Luckily for EA, it looks like it was just fear that drove the stock price down yesterday. So far today, the stock is up over 5%.