hamiltonpenn768298

p>Aug 26 2012 (Reuters) (Reuters) - Amazon.com Inc will not bid for Electronic Arts Inc. CNBC reported on Friday that sources confirmed that Amazon.com Inc had withdrawn a previous report that Amazon.com Inc would make an offer for the publisher of videogames.

/p>

p>EA shares rose 15 percent in premarket trading after the USA Today report on Amazon's acquisition offer. The stock gained 4% in premarket trading, giving the company an estimated market value of more than $37 billion.

/p>

p>Amazon and EA said they do not comment on rumors and M&A speculation.

/p>

p>Sitting on a cash pile of approximately $37 billion Amazon has hit the acquisition trail to expand its offerings beyond e-commerce and cloud under its new Chief Executive Andy Jassy.

/p>

p>The company offered to purchase Roomba maker iRobot Corp at $1.7 billion in the month of March just a few weeks after it signed a deal to purchase One Medical, a primary health care provider, for $3.5 billion.

/p>

p>Amazon is the owner of live-streaming service for video games Twitch also acquired MGM studios, the maker of "Rocky" and "James Bond" films, for $8.5 billion.

/p>

p>EA's strong licenses, intellectual property rights, and the potential to create new games in the metaverse makes it an attractive choice for tech giants seeking to draw attention from a younger crowd analysts said.

/p>

p>Bets on the metaverse had also powered Microsoft Corp's $68.7 billion deal for EA rival and "Call of Duty" maker Activision Blizzard Inc in January https://www.reuters.com/article/activision-m-a-microsoft-idCAKBN2JS174.

/p>

p>The deals are blurring the distinction between mobile and personal computer gaming companies and come against the backdrop of a shaky global gaming industry as the pandemic-fueled rise in demand slows.

/p>

p>The global gaming market is expected to grow just by 2% in 2022, down from the previous year the data from research firm Newzoo revealed, a far from the 23% growth recorded in 2020.

/p>

p>EA has predicted a lackluster adjustment to sales numbers, saying it wasn't "completely immune" to recession.

/p>

p>Its shares lost about 3% by Thursday's close compared to Take-Two's nearly 30 percent loss. https://gservers.org/ </p>