SAG-AFTRA Reaches Tentative Agreement with Video Game Companies, Addressing AI Concerns and Ending Nearly Year-Long Strike

Reviewed byNidhi Govil

27 Sources

SAG-AFTRA has reached a tentative agreement with major video game companies, potentially ending a strike that lasted almost a year. The deal includes provisions for AI use, wage increases, and improved working conditions for performers in the gaming industry.

Strike Suspension and Tentative Agreement

After nearly a year of negotiations, SAG-AFTRA has reached a tentative agreement with major video game companies, potentially ending a strike that began in July 2024 1. The strike, which involved performers in the video game industry, was primarily focused on securing protections against the unregulated use of artificial intelligence (AI) 13.

Source: VentureBeat

Source: VentureBeat

Key Issues and AI Concerns

The strike was initiated due to concerns over the potential misuse of AI technology in the video game industry. Performers worried that AI could be used to create digital replicas of their voices and likenesses without proper consent or compensation 13. Some actors expressed fears about the possibility of their performances being considered merely as "data" or being replaced entirely by AI 3.

Terms of the Agreement

While specific details are yet to be fully disclosed, the tentative agreement includes several significant provisions:

  1. AI Protections: The deal establishes "guardrails" for AI use, including requirements for transparency, consent, and compensation for the use of digital replicas in games 24.

  2. Wage Increases: The agreement provides for "historic wage increases" of over 24% for performers 25.

  3. Health and Safety: Enhanced health and safety protections have been included in the contract 25.

  4. Compensation Structure: The deal includes compounded increases in performer compensation at a rate of 15.17% upon ratification, with additional 3% increases in November 2025, 2026, and 2027 5.

  5. Digital Replica Compensation: Collectively-bargained minimums have been established for the use of Digital Replicas created with IMA-covered performances 5.

Industry Response and Next Steps

The tentative agreement has been approved by SAG-AFTRA's National Board and will now be submitted to the membership for ratification 5. Both the union and the video game companies have expressed satisfaction with the outcome. Duncan Crabtree-Ireland, SAG-AFTRA's National Executive Director, stated that the deal "puts in place the necessary A.I. guardrails that defend performers' livelihoods in the A.I. age" 34.

Broader Context and Impact

Source: Sky News

Source: Sky News

This agreement comes as part of a larger wave of labor action in the entertainment industry, following the 2023 SAG-AFTRA strike against major Hollywood studios 3. The video game strike's resolution may have significant implications for the use of AI in the broader entertainment sector.

Industry Participants

The agreement involves several major players in the video game industry, including Activision Productions Inc., Disney Character Voices Inc., Electronic Arts Productions Inc., Epic Games Inc., and WB Games Inc., among others 14.

Source: Polygon

Source: Polygon

As the video game industry prepares to resume full production, the long-term effects of this strike and the new agreement on game development and performer rights remain to be seen. The ratification process and implementation of these new terms will be closely watched by both the gaming and entertainment industries in the coming weeks and months.

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