‘FC 24’ soccer game launches from Electronic Arts after FIFA split

It’s the first time EA has launched a soccer game without a FIFA tag, betting that ‘FC 24’ will keep its momentum.

On Friday, Electronic Arts made a significant move by releasing its inaugural soccer game without the FIFA branding. This strategic decision hinges on the belief that “FC 24” will not only uphold the success of its best-selling franchise but also serve as a safeguard against potential industry stagnation.

Last year marked the conclusion of an almost three-decade-long partnership between Electronic Arts (EA) and FIFA, reportedly due to FIFA’s request for EA to double its annual payments of $150 million. This parting of ways left EA’s “FC 24” without the formidable visibility and marketing power associated with the FIFA brand. The fate of this game now carries immense weight for EA, with some analysts suggesting that this franchise contributes significantly to the company’s revenue and its impressive $32 billion market valuation.

Joost Van Dreunen, a lecturer at NYU’s Stern School of Business, noted, “The end of such a high-profile partnership … creates an uncertain future for the publisher. Both gamers, who fear a weakening of the franchise, and investors, worried about how it will impact EA’s ability to generate revenues, are watching closely.”

EA, in response, has made efforts to enhance “FC 24’s” appeal. They’ve introduced new features like cross-platform play and HyperMotion V technology, which leverages real footage data to program lifelike in-game movements. In the United States, the standard edition of the game retails for $69.99, while the ultimate edition goes for $99.99.

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Analysts are optimistic about “FC 24’s” prospects, especially given the financial resources freed up by the FIFA split. The game still retains licenses for most soccer leagues, teams, and players, positioning it well for marketing endeavors. Michael Pachter, an analyst at Wedbush Securities, remarked, “EA spent under 10% on marketing prior to losing the FIFA name, and they’re able to probably double that to 16%. I’m confident that sales won’t suffer … the company is expecting a small decline, and they’re talking like 5%.”

FC 24 System Requirements

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Pachter also highlighted the strength of the franchise’s Ultimate Team game mode, which generates over a billion dollars in annual sales. This mode allows gamers to purchase card packs to assemble their virtual dream teams. This success has been a boon for EA, particularly when some of its other games, like Apex Legends, have faced challenges in the post-pandemic landscape. In fact, the company fell short of net bookings expectations last quarter and implemented a 6% workforce reduction in March.