timppu: I don't feel strongly about big game companies closing down unneeded studios they have acquired earlier, and I don't know why others would either.
If there is still a big need for those games which the studio is making, then I guess the studio employees will form a new studio making similar games, with a different name. Like the Gothic people continuing to do Arcania games or how was it.
If the studio is still making games that don't sell, I don't see what would be the point of trying to keep them alive. They'd die anyway in the long run. People move to new companies and jobs etc.
Engerek01: The way I see it, the problem is EA is buying those companies, forcing them to make quick unpolished games to milk the franchise and once they get drained they toss them out. The companies are not becoming unneeded because they are bad, they are becoming unneeded because EA is making them so.
That's exactly what is happening to Bioware right now. Dragon Age: Inquisition and Mass Effect: Andromeda were terrible awful games. Not because Bioware is a bad team but because EA forced them to make drastic changes and rushed both games.
All the people who made the good Bioware games have left the company ages ago. Hence the drop in quality each time they release a new game.