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The Indicator from Planet Money

Video Game Industry Week: The Final Level

The Indicator from Planet Money

NPR

Business

4.79.5K Ratings

🗓️ 26 April 2024

⏱️ 9 minutes

🧾️ Download transcript

Summary

We wrap up our series on the economics of the video game industry with a triple roundup. Today, how the new ban on noncompete contracts could affect the gaming industry, whether young men are slacking off work to play games and the ever-controversial world of loot boxes.

Related episodes:
Forever games: the economics of the live service model (Apple / Spotify)
Designing for disability: how video games become more accessible (Apple / Spotify)
The boom and bust of esports (Apple / Spotify)
Work. Crunch. Repeat: Why gaming demands so much of its employees (Apple / Spotify)

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Transcript

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0:00.0

NPR.

0:03.0

This is the indicator from Planet Money. I'm Waylon Wong. I'm Darren Woods and I'm Adrian Ma and hey you've done it. You have reached the final level of our indicator week-long video game industry series and we are capping it off today

0:25.8

with a roundup of a few interesting video game-related indicators that we didn't quite

0:30.7

get to yet. We will talk about non-compete contracts in the gaming industry,

0:35.4

whether games are holding young men back from working,

0:38.8

and a quick status update on the controversial world of Lute Boxes.

0:42.8

All that after the break.

0:45.4

We're sharing some little gaming information vignettes.

0:49.4

First off, Wailamong.

0:50.9

Hello, my vignette is not gaming specific, but it is related to some big news this week that could

0:56.9

have an impact on the game's industry.

0:59.8

So the Federal Trade Commission just unveiled a new ban on non-compete.

1:04.0

A non-compete is when companies bar their employees from taking a new job or starting a business.

1:09.4

And the FTC estimates that these restrictions affect 30 million workers in the US.

1:15.0

So like say you're a game developer and you're under a non-compete,

1:18.3

if you leave that employer you can't go to a different company or start your own game studio for a certain

1:23.8

period of time. What does this mean for people who are already in the job and have

1:28.2

signed non-competes? Well that non-compete is Dunzo. Your employer cannot enforce it after this ban goes into effect.

1:36.0

And then going forward, employers can't use non-competes at all.

1:39.7

And non-competes pretty prevalent in the game's industry?

1:43.4

You know, it's a little tricky to find hard data on this,

1:46.2

but anecdotally, these kinds of restrictions

...

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