The video game companies negotiating a new contract with SAG-AFTRA have issued a “best, last and final” offer to the actors union, which removes some key sticking points regarding Generative AI.
The topline changes in this final version of a new Interactive Media Agreement (IMA) between the two parties include: removing the unlimited digital replica buyout provision; eliminating the repayment requirement for performers who choose to suspend their consent for developers to create new content using a digital replica during a strike; and stating that developers will not use digital replicas created from non-IMA content in order to circumvent the protections for digital replicas created from IMA-covered content laid out in the proposal.
The most significant of these revisions is the removal of the one-time payment option for unlimited pre-generated content per game, or what the union has previously described as the “unlimited DR use buyout.” With this change, performers who consent to the use of a digital replica would receive compensation for that use comparable to what they would have received had they directly provided services.
The major video game companies included in negotiations are 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 new proposal was sent over by the companies last week, following a previous “best and last” offer issued April 30, which SAG-AFTRA had countered with a proposal May 2. The actors union has been on strike against the companies since July 16, 2024 after 18 months of negotiations on the new IMA.
“Last Friday, we responded to SAG-AFTRA’s latest counter with a strong and fair proposal that directly addresses the priorities we understand are essential to reaching a deal to end the strike,” Audrey Cooling, spokesperson for the video game developers party to the IMA, said in a statement Monday. “Specifically, our latest proposal eliminates the unlimited digital replica buyout provision for pre-generated content; eliminates the repayment requirement for performers who choose to suspend their consent for developers to create new content using a digital replica during a strike; and affirms that developers will not use digital replicas created from non-IMA content in order to circumvent the protections for digital replicas created from IMA-covered content laid out in the proposal. Our full proposal not only includes some of the most robust AI protections in a deal of this kind, it also increases wages by 24% over the life of the contract, with a 15% increase in performer compensation immediately upon ratification. We are ready to sign so that performers can return to making great content.”
A spokesperson for SAG-AFTRA said in response: “Our negotiating committee will meet with other members who work in video games in an informational meeting tomorrow to discuss the offer and potential next steps.”
See the “best, last and final” contract proposal offer from the video game developers to SAG-AFTRA in the document below.
