Electronic Arts experienced a challenging third quarter, highlighting weaker sales for titles like Dragon Age: The Veilguard and EA Sports FC25. The company is shifting focus towards enhancing its live service offerings, especially Apex Legends, to recover its market position. By investing in new content and strategic updates, EA aims to better engage its player base and improve financial performance in the upcoming quarters.
Previously, EA leadership indicated there were no immediate plans for an Apex Legends sequel. This stance has evolved as the company addresses the recent downturn in live service revenues and seeks to align its game offerings with player expectations more closely.
What led to EA’s Q3 financial results?
The financial dip in Q3 was mainly driven by lackluster sales of Dragon Age: The Veilguard and EA Sports FC25. CEO Andrew Wilson admitted, “Q3 was not the financial performance we wanted or expected.” Additionally, Respawn’s Apex Legends saw a year-over-year decline in net bookings, contributing to the overall underperformance.
How is EA planning to revive Apex Legends?
To address Apex Legends’ declining performance, EA is developing more engaging content and considering a “Apex 2.0” update. Wilson stated, “We continue to test and develop more and great content for that community.” The planned update aims to rejuvenate the game experience and restore player interest.
What is the timeline for EA’s major releases?
EA has scheduled the next Battlefield title, touted as “the biggest Battlefield ever made,” for release before April 2026. Wilson indicated that the significant update for Apex Legends would likely follow the Battlefield launch, placing it in a post-2026 timeframe. This strategic timing allows EA to manage resources and maximize impact for both franchises.
Live service games now represent 74% of EA’s revenue, underscoring their importance to the company’s financial health.
“Our expectation is that Apex will also be one of those franchises, and that some time on the horizon, there will be an even bigger, more meaningful update to that broader game experience—an Apex 2.0 if you will.”
This focus on sustainable franchise growth is intended to ensure long-term success in a competitive market.
Ensuring that live service games meet evolving player demands is crucial for EA’s strategy. The company’s efforts to integrate shared-world features and deeper engagement alongside high-quality narratives indicate a commitment to balancing player interests with strong storytelling.
