EA full form is Electronic Arts. It is one of the world's leading publishers of video and computer game software which is better known as video game companies, which includes Sega, Nintendo and Atari, make video game players but only make games for their proprietary devices. They also produces software for hardware from various manufacturers, whether it is for computers, video game consoles, or CD-ROM players. With an annual income increase of 60 percent between 1989 and 1994, the EA has experienced rapid growth in a rapidly growing world market. In 1982 Electronic Arts was founded by three former Apple Computer managers that are William M. (Trip) Hawkins III, who was marketing director at Apple and he also became head of the new venture at age of 26; William Bingham (Bing) Gordon, who became the company's director of marketing; and Tom Mott. Hawkins and Gordon both did MBAs from Stanford University. Four friend while dinner at Hawkin’s house decided to form company specializing in development and marketing of software games for home computers. EA company was started with 11 people and $5 million in capital from private investors.
It first product was shipped in May of 1983, which was a software game for the Atari 800 game player, but soon thereafter the market shifted to the Commodore system. EA quickly adjusted, and in October 1983 it shipped more than 5 games for the Commodore 64 computer. Its 'Skyfox' computer game was mainly designed for the Apple II computer, it became a best-seller in 1984. Two years later EA began producing games for the new Commodore Amiga, which became a very popular computer. By 1990 EA was investing an additional 50 percent of the development cost of each product in redesigning the software so that it would run on a separate hardware system. Game software was still a very new industry in the early 1980s, as personal computers were not yet widespread. Thus, EA took a new approach to software design, modeling development and production more on the entertainment industry than the software industry. Instead of hiring computer programmers, EA hired software graphic arts designers and project managers, called it makers. Ideas for new computer games often came from freelancers who proposed game scenarios such as freelance screenwriters submitting their scripts to Hollywood studios. If an idea was approved by an internal committee, the project was assigned to a 'producer'. Later, more ideas were developed internally, but EA continued to consider its software developer artists. Unlike many of its competitors, who use third-party distributors, EA took a strategic approach to establishing its sales force. EA's salespeople sell directly to retailers such as Egghead Inc., Toys 'R' Us, Wal-Mart and Target. In addition to allowing better control over sales and inventory, the use of sales forces has also helped EAs keep better track of consumer trends.