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December 2009

The Entertainment Software Association

FEDERAL TRADE COMMISSION REPORT RECOGNIZES THE ESA'S AND ESRB'S LEADERSHIP IN CONSUMER DISCLOSURE, RETAIL COMPLIANCE AND ENFORCEMENT OF MARKETING PRACTICES

The computer and video game industry leads the entertainment industry when it comes to responsible marketing and selling age-appropriate products. A recently released Federal Trade Commission (FTC) report acknowledged the computer and video game industry's self-regulatory practices in restricting target-marketing of mature-rated products to children, clearly and prominently displaying rating information, and restricting children's access to mature-rated products at retail locations.

The agency's report to Congress, the seventh since 2000, analyzed entertainment marketing and advertising practices, and movie, music and video game industries' ratings programs and sales to children. The report found that 80 percent of mature-rated game sales to minors are stopped and that "of the three entertainment sectors, the electronic game industry continues to have the strongest self-regulatory code."

Concerning the work of the Entertainment Software Rating Board (ESRB), the Commission "commends the ESRB for its new online ratings summaries, which provide a more detailed explanation of the content that factored into a game's rating. This tool should enhance parental understanding of the ratings and the ratings process."

The computer and video game industry's self-regulatory programs are led by the ESRB, the nonprofit, independent organization that rates computer and video games. Now in its 15th year, the ESRB assigns computer and video game content ratings; partners with retailers to support their policies on the sale or rental of games to minors; enforces industry-adopted advertising and marketing guidelines; and helps ensure responsible online privacy practices for the interactive entertainment software industry. 

The report's findings are especially timely as computer and video games top holiday shopping and wish lists. An anticipated high volume of game purchases means that it is even more important for parents to make sure that the games they buy are appropriate for their families and for retailers to enforce store policies, both practices that the FTC report indicated are occurring.


INNOVATING BEYOND THE LIVING ROOM: HOW VIDEO GAMES CAN STRENGTHEN STEM EDUCATION

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"Reaffirming and strengthening America's role as the world's engine of scientific discovery and technological innovation is essential to meeting the challenges of this century," said President Obama. "That's why I am committed to making the improvement of STEM education over the next decade a national priority."

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On November 23, President Obama announced a new initiative at a White House event that partners prominent companies, trade associations, universities, foundations, nonprofits and community organizations to motivate and inspire students across the country to excel in Science, Technology, Engineering and Mathematics (STEM).

The "Educate to Innovate" campaign aims to make significant investments and improvements in the math and science fields over the next decade by: 

  • Increasing STEM literacy so all students can think critically in science, math, engineering and technology;
  • Improving the quality of math and science teaching so American students are no longer outperformed by those in other nations; and
  • Expanding STEM education and career opportunities for underrepresented groups, including women and minorities.

Responding to the president's call, the Entertainment Software Association (ESA) brought together the Information Technology Industry Council (ITI), Sony Computer Entertainment America (SCEA), Microsoft Corporation and the MacArthur Foundation to unveil a series of National STEM Game Design Competitions to engage and motivate students in STEM learning. This shift from textbooks to computers, blackboards to 3-D animation and lectures to hands-on learning reflects the social, cultural and technological expansion of 21st-century learning. Now, more than ever, games are an educational catalyst for learners of all ages. And, as recognized by our nation's highest leaders, the contributions that computer and video games are making to cognitive learning and professional development are indisputable. 

The first competition is a joint venture of the ESA and ITI, in concert with leading education stakeholders, including The Joan Ganz Cooney Center at Sesame Workshop, Games for Change and E-Line Ventures, to challenge America's best and brightest innovators to design STEM-related computer and video games in three age-based categories.

The ESA, ITI and their partners will provide mentorship and technical expertise to the winning teams to maximize the utility, outreach and effectiveness of their games. Prize winners will receive a total of $300,000 and their games will be used in school and community settings. Winners will be announced at the E3 Expo, the leading video game industry trade show event, June 15-17, 2010.

The second competition is a component of the 2010 Digital Media and Learning Competition, a $2 million annual effort funded by the MacArthur Foundation to advance the most innovative approaches to learning through games, social networks and mobile devices. SCEA, in cooperation with the ESA and ITI, will team up with MacArthur to support the competition for the creation of new game play experiences that enhance STEM principles using new discoveries on its popular video game, LittleBigPlanet. Additionally, SCEA will donate 1,000 PlayStation 3 systems and copies of LittleBigPlanet to libraries and community-based organizations in lower-income communities, and make the winning levels available to game players at no cost.

The computer and video game industry's lifeblood is the energy and innovation of new, emerging developers. In this era of innovation, the expansion of games for learning will continue, and through these two powerful competitions, our nation's students will acquire the strategic and analytical thinking skills and problem-solving abilities to advance their own curiosity and drive in the classroom and in the work environment . Investing in the great game designers and developers of today will go far in enhancing educational opportunities for our students tomorrow.


VIDEO GAMES ARE HOT AGAIN THIS HOLIDAY SEASON

As 2009 draws to a close, Americans are escaping the cold by braving the shopping mall crowds and surfing retail Web sites, looking for the perfect holiday gifts for friends and loved ones. As usual, gift-givers are snapping up popular computer and video game titles, which rank highly on wish lists again this year.

An ESA poll released last month revealed that entertainment software is as popular as ever, with 42 percent of respondents either planning to give or hoping to receive a computer or video game this holiday season. This represents a nine percent increase from the previous poll in 2007 and the highest the number has been in more than five years. When the National Retail Federation released its "Top Toys 2009" list, video games came in atop the list for boys and at number four for girls. And a Consumer Reports survey listed video games and accessories as the most popular items that shoppers looked for on the Black Friday shopping day.

This is not a new phenomenon. Market research firm Permuto Discoveries recently released a list of the top-selling toys every year since 1960. In seven years out of the last 34, computer or video games or consoles held the top spot, including Pong in 1976, Nintendo's Game Boy in 1991 and the Sony PlayStation 2 in 2001. This year, a survey by retailer Game Crazy identified Nintendo's Wii Sports Resort, Mario & Sonic at the Olympic Winter Games and New Super Mario Bros. Wii, and Microsoft's Halo 3: ODST as some of the games atop wish lists.

Computer and video games provide great value for the family entertainment dollar, a leading reason they are so high on gift givers' lists, according to the ESA poll's respondents. A full 52 percent indicated that video games would be a way to stretch the family's gift budget in the midst of the tough economy.

When purchasing gifts, parents should consult the ratings assigned by the ESRB that are found on the packaging of all computer and video games. This year, the ESRB introduced a new, free iPhone app that gives parents instant, on-the-spot access to its rating summaries when making decisions about which games to give as gifts. So far, 39 elected officials in 35 states have released statements in conjunction with the ESA and ESRB urging parents and other shoppers to educate themselves on the resources provided by the ESRB to ensure that the games they buy as gifts are appropriate for their children.

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In the News

11/30/2009 — UC Irvine takes video games to the next levelLos Angeles Times
11/28/2009 — Videogames -- Not Only for the LonelyWall Street Journal
11/22/2009 — At libraries, fun and games now the lureWashington Post
11/15/2009 — Computer game in N.J. classrooms is far from a disasterThe Newark Star-Ledger (NJ)
11/11/2009 — Raising Real Money in a Virtual WorldNew York Times
11/9/2009 — Second Life Duty Is Now Required for Penn State's Online AdvisersChronicle of Higher Education
11/5/2009 — CBS enters videogame sectorVariety
11/3/2009 — Atari as art?The Times-Standard (CA)
11/3/2009 — Film, game industry convergeCanwest News Service
11/2/2009 — At Florida Virtual School, history is taught through gamingSt. Petersburg Times (FL)
11/2/2009 — From the video screen to the hard courtLos Angeles Times
11/1/2009 — Educational Video Games Mix Cool With PurposeNew York Times
10/30/2009 — What's in HB 873? The New Incentive LevelsAustin Chronicle (TX)

Latest News Releases

Quote of the Month

"I hadn't really thought about it until it happened in the video game. Now I can make it happen on the court."

— NBA player Mike Conley, on discovering a new scoring move called the Euro Step while playing 2K Sports' NBA 2K9

 Did You Know?

The Mid-Atlantic Dairy Association and the Pennsylvania Dairy Promotion Program recently introduced Operation Dairy, an online game that teaches children about the dairy farming business.

Statistic of the Month

According to market research firm Today's Gamers, the United States leads the world in the adoption of digital distribution for computer and video games. The survey showed that 40 percent of American console owners have purchased downloadable game content, and almost 20 percent have paid for full games through a console download service.

Contact Us

Entertainment Software Association
575 7th Street, NW
Suite 300
Washington, DC 20004

For general inquiries, please email esa@theESA.com.

For members of the media only, please contact Dan Hewitt.

Copyright © 2009 — ESA Entertainment Software Association

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