A Microsoft spokesperson responds that the EA buyout rumor has no merit, and EA shares retreat. The unnamed spokesperson made the statement to MarketWatch, who also reported that analysts had for the most part dismissed the move. That didn’t stop EA shares from spiking during the day before sliding slightly in after hours trading. Read more at MarketWatch.
Wedbush Morgan Security s Michael Pachter meanwhile summed up why analysts dismissed the rumor. Talking to Industry Gamers, he cites the downward pressure such a move would put on EA’s value given the effect it would have on its exclusive sports franchises and other licenses.
