SAG-AFTRA Strikes Over AI Protections Against Major Video Game Companies

SAG-AFTRA has initiated a strike against major video game companies, including Activision and Electronic Arts, due to concerns over AI use and fair compensation for performers. Here's a detailed look at the issues at hand and the temporary solutions being implemented.

SAG-AFTRA Announces Strike Against Major Video Game Companies

The Announcement and Main Sticking Points

SAG-AFTRA officially declared a strike against leading video game companies, effective July 26 at 12:01 a.m. This decision came after over 18 months of unsuccessful negotiations, as announced by SAG-AFTRA National Executive Director & Chief Negotiator Duncan Crabtree-Ireland. The strike targets companies such as Activision Productions Inc., Blindlight LLC, Disney Character Voices Inc., Electronic Arts Productions Inc., Formosa Interactive LLC, Insomniac Games Inc., Llama Productions LLC, Take 2 Productions Inc., VoiceWorks Productions Inc., and WB Games Inc.

The core issue revolves around the unregulated use of artificial intelligence (AI). While the union supports AI technology, members are concerned about its potential to replace human performers. Key worries include AI's ability to replicate actors' voices or create digital likenesses without consent, and the displacement of smaller roles crucial for emerging actors. Ethical concerns also arise if AI-generated content conflicts with actors' values.

Developer Workarounds During The Strike Period

To address these challenges, SAG-AFTRA has introduced new agreements. The Tiered-Budget Independent Interactive Media Agreement (I-IMA) is designed for projects that traditional agreements cannot cover. This framework categorizes projects into four tiers based on production budget, ranging from $250,000 to $30 million, with adjusted rates and terms.

Introduced in February, this agreement includes AI protections that were initially rejected by the video game industry bargaining group. A significant step was a side deal with AI voice company Replica Studios in January, allowing unionized actors to create and license digital replicas of their voices under specific terms, including the right to opt out of perpetual use.

The Interim Interactive Media Agreement and the Interim Interactive Localization Agreement offer temporary solutions, covering various aspects such as:

• Right of Rescission; Producer’s Default
• Compensation
• Rate Maximum
• Artificial Intelligence/Digital Modeling
• Rest Periods
• Meal Periods
• Late Payments
• Health & Retirement
• Casting & Auditions - Self Tape
• Overnight Location Consecutive Employment
• Set Medics

These agreements do not cover expansion packs, downloadable content, or other add-ons produced post-launch. Projects approved under these agreements are exempt from the strike, allowing work to continue during this period.

Timeline of Negotiations and Union Resilience

Negotiations started in October 2022, with SAG-AFTRA members overwhelmingly approving a video game strike authorization on September 24, 2023, with a 98.32% yes vote. Despite progress on other issues, the primary unresolved issue is the employers' refusal to commit to clear and enforceable AI protections for performers.

SAG-AFTRA President Fran Drescher stated, “We’re not going to consent to a contract that allows companies to abuse A.I. to the detriment of our members. Enough is enough. When these companies get serious about offering an agreement our members can live and work with, we will be here, ready to negotiate.”

Crabtree-Ireland emphasized the union's stance, pointing out the significant profits of the video game industry and the vital role of SAG-AFTRA members in bringing game characters to life. “It’s stunning that these video game studios haven’t learned anything from the lessons of last year, that our members can and will stand up and demand fair and equitable treatment with respect to A.I., and the public supports us in that,” he said.

Interactive Media Agreement Negotiating Committee Chair Sarah Elmaleh reiterated the union's commitment to fair AI practices, stating, “Eighteen months of negotiations have shown us that our employers are not interested in fair, reasonable A.I. protections, but rather flagrant exploitation. We refuse this paradigm, we will not leave any of our members behind, nor will we wait for sufficient protection any longer.”

As the strike continues, SAG-AFTRA remains committed to securing equitable treatment and protection for its members within the dynamic video game industry.