Electronic Arts announced today that it is purchasing Titanfall creator Respawn Entertainment and that developer is currently working on a new Titanfall game, a Star Wars game and a virtual reality game.
EA is buying the developer for $151 million in chase and up to $164 million in long-term equity in the form of restricted stock units to employees, which will vest over four years. Electronic Arts also agreed to pay as much as $140 million in bonuses based on performance milestones relating to future games, through the end of 2022.
The agreement is expected to close by the end of this year.
"We've seen firsthand the world-class caliber of Respawn as a development studio with incredible vision, deep talent and an inspiring creative mindset," said Andrew Wilson, CEO of Electronic Arts, in a prepared statement. "Our longtime partnership is grounded in a shared desire to push the boundaries and deliver extraordinary and innovative new experiences for players around the world. Together, we've brought this to life in the Titanfall franchise, and now with the Respawn team joining EA, we have exciting plans to accomplish even more amazing things in the future."
Respawn will join EA's Worldwide Studios organization once the deal goes through.
"We started Respawn with the goal to create a studio with some of the best talent in the industry, and to be a top developer of innovative games," said Vince Zampella, CEO of Respawn Entertainment. "We felt that now was the time to join an industry leader that brings the resources and support we need for long term success, while still keeping our culture and creative freedom. EA has been a great partner over the years with Titanfall and Titanfall 2, and we're excited to combine our strengths. This is a great next step for Respawn, EA, and our players."
Respawn was formed in 2010, a month after founders Jason West and Vince Zampella were fired from Activision's Infinity Ward for "breach of contract and insubordination." Zampella and West formed Infinity Ward in 2002 along with Grant Collier after the three and a group of other developers left developer 2015, Inc. where they all worked on Electronic Arts published game Medal of Honor: Allied Assault.