A labor union representing game developers has strongly condemned Sony's recent move to shut down two studios, including Concord developer Firewalk, accusing the gaming giant of acting in an anti-competitive and monopolistic manner.

In a statement, the Communications Workers of America (CWA) asserted that Sony's decision to close Concord studio Firewalk and mobile game outfit Neon Koi underscores the urgent need for video game workers to have a free and fair opportunity to unionize.

The video game industry has faced significant turbulence with mass layoffs and other major changes in recent years. The CWA attributed these decisions to cut staff and cancel projects to the actions of 'highly insulated video game CEOs.'

The CWA further claimed that Sony's actions continue to reflect a monopolistic approach, particularly through the closure of studios and job eliminations. 'Sony's decision to dissolve studios outside their walled garden of PlayStation-exclusive content rather than making games that have to compete in the highly diverse and competitive mobile game market should be a cautionary warning sign of Sony's interest in furthering its monopoly position in the video game industry,' the group stated.

Industry analyst Daniel Ahmad disagreed with this perspective, stating on social media, 'The argument doesn't hold in this specific instance. The studios didn't have dominant positions prior to being acquired. It was a consequence of poor management.'

The CWA announced plans to voice its concerns about Sony's 'increasing monopoly and monopsony power' to regulators, policymakers, and stakeholders in the future. This move follows the recent formation of a union by nearly 250 employees at Bethesda Game Studios, developers of Fallout and Elder Scrolls, with the CWA. This trend of video game teams seeking collective bargaining agreements appears to be gaining momentum.

According to a report from Kotaku, the initial development contract for Concord amounted to $200 million, a figure reportedly insufficient to cover all game development costs. This amount is also said to be separate from the costs associated with Sony acquiring Firewalk and obtaining the Concord IP rights.

Concord was online for less than a month before Sony announced its closure and plans to refund all players. While there was speculation that the game might return with a new business model or changes, those hopes have now been dashed.

Despite the game's cancellation, the Concord franchise will still appear in Prime Video's upcoming video game TV series, Secret Levels, set to premiere this December.

Source link:   https://www.gamespot.com