Video Game Industry Resilient Amid Actor Strike

Major video game publishers, including Electronic Arts and Take-Two, are likely to avoid significant disruption from the strike initiated by the Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA) union workers last week. Reuters reported yesterday that analysts suggest the impact of the strike will be minimal due to the lengthy development timelines of major game titles.

SAG-AFTRA initiated the strike last week, representing roughly 2,600 actors performing voice-over, motion capture, and other work in the gaming industry, as reported by the LA Times.

The industry’s reliance on long development cycles and in-house resources provides a buffer against the strike’s immediate effects. Additionally, the relatively small budget allocated for voice acting in major game titles makes it unlikely that companies would halt projects because of the strike, especially without a unified body pushing for widespread action, reports Reuters.

At the heart of the strike lies the issue of artificial intelligence. Union leaders are seeking a new contract that safeguards actors from the potential misuse of AI technology. Their demands include requiring producers to obtain consent before replicating an actor’s voice or likeness with AI, as well as offering compensation when AI is used to replicate performances.

“We’re not going to consent to a contract that allows companies to abuse AI to the detriment of our members,” SAG-AFTRA President Fran Drescher said in a statement.

Union representatives worry that the unchecked use of AI could eventually eliminate the need for voice actors and that companies could potentially train AI to replicate an actor’s voice or create digital replicas of their likeness without consent or fair compensation.

“Our concern is the idea that all of this work translates into grist for the mill that displaces us,” said Sarah Elmaleh, chair of the interactive negotiating committee, as reported by AP News.

While analysts predict minimal immediate impact, the long-term consequences of the strike hinge on its duration. Joost Van Dreunen, a lecturer at NYU’s Stern School of Business, highlighted this concern to Reuters, stating, “If it isn’t resolved by early September, then I can see it carrying into the rest of the year and the holiday season”. This extended disruption could have significant financial repercussions for the industry.