EA Desperately Wants to Get Into Take-Two's Pants
Hot on the heels of another big takeover in the news, Electronic Arts (EA), the makers of the "Madden NFL" and "The Sims" video games, has made a bid for Take-Two Interactive, the company that owns "Grand Theft Auto" makers Rockstar Games. The current offer is for $26 a share, but Take-Two is playing hard to get.
In a letter to Take-Two Chairman Strauss Zelnick, Electronic Arts CEO John Riccitiello urged the company, which is known for its Grand Theft Auto video-games, to accept the offer.
But on Sunday Take-Two also said in a statement that its board of directors has rejected the offer which it said "substantially undervalues Take-Two's robust and enviable stable of game franchises, exceptional creative talent and strong consumer loyalty."
Despite this "talk to the hand" treatment from Take-Two, EA seems to think that no means yes.
However, Riccitiello warned Take-Two in his letter that rejecting the proposed deal would not be in the interest of Take-Two's shareholders. He said EA was raising its offer "to further demonstrate our seriousness and encourage you to move forward now."
Translation: Come on, baby, Ill show you a real good time.
Many have speculated that the upcoming release of Grand Theft Auto IV is the driving force behind Electronic Arts aggressive attempts at a merger, not the least of which is Take-Two itself, which released a statement saying
"[EAs bid] is highly opportunistic and it's attempting to take advantage of our upcoming release of Grand Theft Auto IV, one of the most valuable and durable franchises in the industry."
And while that may be one of the contributing factors, I think it goes a bit deeper than that. After all, Take-Two owns not only Rockstar Games, but also 2K Games, who have made a little game, that you might have heard of, called BioShock. 2K also has a subsidiary dedicated to sports titles, 2K Sports, which has been a consistent rival to EAs stable of sports titles for years. So, with two of the most critically and commercially successful games ever made and a chief rival in one tidy package, no wonder EA is on the prowl.
"Our strong preference is to conduct a private negotiation," he wrote. "If you are unwilling to proceed on that basis, however, we may pursue other means, including the public disclosure of this letter, to bring our offer and the compelling value it represents to the attention of Take-Two's shareholders."
Pretty tough talk, considering there is also speculation that
[EA] will likely face more competitive pressure with the pending merger between Activision Inc. and Vivendi Games.
Hmm, Electronic Arts offer and its compelling value are starting to smell a little like desperation.
we3_pirate is practising a new dance he just created. It's called the "Corporate Merger."
Jack Thompson Bullies Bully
Jack Thompson, the Gamers' arch-nemesis and favorite foe has returned to the forefront once again. This time his target is Rockstar Vancouver's upcoming release of Bully. Tightlipped for about a year, Rockstar recently began flashing bits and pieces of their new game, which focuses on an abandoned Jimmy Hopkins and his year of adventures at Bullworth Academy. Developed as a tongue-in-cheek game, not everyone sees Bully as quite so amusing.
Always looking to attract more publicity for his painfully misdirected cause (and yes, heres some more, Mr. Thompson) Bit-tech was sent an unintentionally humorous fax from the Attorney himself. Is it just me, or is the irony inherent, here? Jack Thompson is a Bully!
Subject: Bully will never be released
Take-Two Interactive Software, Inc.
XXX XXXXXXX
New York, New York
C/o Blank Rome
S. Robson Walton, Chairman
Wal-Mart
Bentonville, Arkansas
Via Fax to XXX-XXX-XXXX
Re: Bully
Dear Mr. Eibeler, Take-Two Directors, and Mr. Walton:
Take-Two has until five oclock p.m., Eastern time, Monday, August 14, 2006, to inform me in writing that it will forthwith provide me with a copy of Bully so that I and others can analyze it to determine whether it still poses a threat of copycat violence in our schools (See Miami-Dade School Boards unanimous Resolution), or the following will occur:
I shall file a lawsuit against your respective companies to stop the games October 1 release.
Regards, Jack Thompson
Jack Thompson, Attorney
Land line: XXX-XXX-XXXX, Cell: XXX-XXX-XXXX
XXXX South Dixie Hwy, Suite XXX
Coral Gables, FL USA XXXXX
I do hate giving the man more outlets for his insanity, but its all so funny that it needs to be shared. The topic of violent video games and their impact on children is definitely worth discussion but please, Mr. Thompsontry to be logical and rational. How can you expect anyone of sound mind to take you seriously when youre spouting "facts" like:
10. Bully is a video game that will allow the player to rehearse violence upon his classmates and teachers in retribution for their bullying. This is the unfortunate scenario known to have occurred in violent school incidents known as Columbine, Paducah, Jonesboro, and may others. The role of violent video game play in training the perpetrators in these and other incidents, including the school massacre in Efurt, Germany, and at Columbine is well known.?The Bully game will also train school-age kids how to become bullies after themselves being bullied.
Jack Thompson recently appeared on G4's Attack of the Show (yeah, yeah) in (an attempted) debate with the always-on-the-verge-of-exploding Adam Sessler.
I, for one, cannot wait to get my tiny hands on a copy of Bully. Hopefully it won't make me run to the closest schoolyard to live out my youthful dreams of ruling the school through fear and making out with girls in uniforms...