For years, Electronic Arts struggled with Titanfall. However, the new installment “Apex Legends” is turning into a miracle child and saves the stumbling giant on the stock market after Battlefield 5 disappointed.
This is what February looked like for EA a few days ago: February 2019 actually seemed like a terribly dark month for Electronic Arts.
Just on Wednesday, February 6, Marketwatch reported that EA had to endure its largest stock drop in more than a decade:
- EA announced its quarterly results late Tuesday evening.
- At the start of the trading day on Wednesday, the stock then dropped 13.3%. This was EA’s worst stock loss since 2008.
The 13.3% accounted for a loss of $3.7 billion in market capitalization.
Why did EA lose so much value on the stock market? One of the reasons for the crash was the poor sales figures of Battlefield 5 and the clear words from EA CEO, Andrew Wilson.
Wilson said Battlefield 5 sold “one million units less than the planned 7.3 million units.”
In Battlefield 5, EA delayed the release date and launched without a Battle Royale mode.
Wilson mentioned that decisions were made that did not go as planned. He also mentioned a “strong competitive environment” in that quarter.
Wilson further stated that EA faced “significant challenges” in the last quarter and expects them to continue in the current quarter.
This is what Apex Legends looked like a week ago: However, before the announcement of the stock numbers, rumors were already circulating that EA was planning a surprise launch of a new Titanfall game.
- The rumors emerged on February 2
- and were confirmed on Monday, February 4.
On Tuesday, February 5, an article appeared on Ars Technica that heavily criticized the surprise launch of the “Titanfall” shooter Apex Legends.
The author feared that EA would repeat its mistakes from Titanfall 2 by releasing Apex Legends in the same time window as the blockbuster Anthem. Both games are “only online shooters.” They compete against each other.
In addition, the author was not impressed by Apex Legends. He saw it as merely solid standard fare, lacking the key features of Titanfall: the Titans and wall-running.
This is what the situation looks like now: Just 5 days later, the tide has completely turned for Electronic Arts:
- Apex Legends had over 10 million registered players by Thursday, February 7
- 1 million players were already live simultaneously.
- On Twitch, Apex Legends is skyrocketing, competing with Fortnite for the top spot
- The title is considered a surprise hit.
After the crash on Wednesday, the stock price of Electronic Arts recovered already on Friday, February 8. Now it is even above the level it was at before.
The irony is: The Titanfall series has been a concern for Electronic Arts for years. The last installment, Titanfall 2, fell short of expectations after it was unfortunately released between Call of Duty: Infinite Warfare and Battlefield 1 in 2016.
Now, the bold decision with Apex Legends has saved the company a lot of trouble and resolved the crisis within just a few days. It was definitely a heated week for Electronic Arts.
Here’s how to stay updated on APEX Legends: For more news, guides, and information about the trending online shooter, follow the dedicated MeinMMO Facebook page with 100% APEX Legends.
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