Difference between revisions of "Electronic Arts"

Revision as of 21:04, 18 February 2016

Electronic Arts, Inc. (or EA Games) is an American technology company responsible for designing many popular video games. Games such as the FIFA series games, NBA Live, the Sims, the Need for Speed series games, and many more. Among Nintendo, valve, and Activision, EA Games ranks among the largest revenue-generating video game companies in the world [1].

Online Gaming

One unique feature that EA does well is providing an online environment for their users to play. Allowing players to engage competiviely with others around the world inhibits a new experience that is unique. Although usually a service provided by the console is necessary to play online with other players (such as Xbox Live or Playstation Network), this is a very popular method of gaming [2].

Ethical Issues

Buyout

Back in December of 2004, EA Games signed a contract with the National Football League (NFL) for publisher exclusivity for trademarks of the NFL, NCAA, AFL, and NFLPA [3]. Essentially, this gave them a monopoly over all football based video games, such as the popular series’ of Madden, NCAA Football, and other popular football games. These games were being produced for Xbox, Playstation, and Nintendo consoles, as well as PC games.

What this meant was companies such as 2K Sports, could no longer make football games. Without the right to trademark and copyright information, no team names, player names, or affiliations could be created within the game. As James Moor states in his “Why We Need Better Ethics for Emerging Technologies,” as technological revolutions increase their social impact, ethical problems increase. Although the gaming industry may not be a life-altering technological revolution, this was indeed a revolution within the gaming industry itself. The rights to sports related trademarks and logos is very important, because a large part of the market of video games sales relies around the sales of sports games. When EA bought the rights to the NFL’s associations, it was a sign to smaller, less competitive game design companies that they wouldn’t have a shot in the football market.

Action Taken

In Pecover vs. Electronic Arts, EA was challenged to their rights of the NFL trademarks for game creation. Other companies like 2K Sports protested by claiming they had the right to create games using these same, popularized NFL teams [4]. The lawsuit ended in EA games, performing a settlement with the prosecutors in the litigation case against them. They we’re required to pay $27 million dollars in a settlement fund, which entitled all those who had bought EA games between 2005 and 2012 a small portion of their money back. [5]. The refunds were given based on which system and games were purchased during these years. Although it was a small portion of the profits EA made for these games, it was a big win for smaller game competitors.

Resolution

With a large corporation like EA Games unable to monopolize video game markets buy using their monstrous income profits to buy out title rights, this is big ethical win for the video game community. Another aspect of ethics that are being explored are the intentions of FIFA, the associated organization in which EA bases it’s popular soccer video game series off of. FIFA is the organization oversees the international soccer play, but recently has had allegations of fraud and money laundering. Many believe EA Games should take a different approach to soccer games, reinventing the name and affiliations of the game’s primary identity [6]. However, such a major change in the system could deter current users from the game, because it is altering the traditional format in which they have enjoyed the game for many years previous. Either way, EA Games will be required to make choices that will continue them on their successful journey, but the ethics of information will be cautiously weighted factor.

References

[1] http://www.thetoptens.com/top-video-game-companies/ [2] http://www.techtimes.com/articles/47085/20150418/playstation-plus-vs-xbox-live-gold-which-online-service-is-best.htm