Videogame stocks outperform broader market as actors strike threatens to spread to game publishers

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Videogame stocks performed slightly better than the broader market Tuesday after striking actors voted late Monday to possibly expand their strike.

Videogame stocks performed slightly better than the broader market Tuesday after striking actors voted late Monday to expand their strike to work on videogames, which constitutes an even larger market than movies or television.

That agreement includes such companies as Activision Blizzard Inc. ATVI, +0.03%, Take-Two Interactive Software Inc. TTWO, -0.56% and Electronic Arts Inc. EA, -0.89%, as well as Blindlight LLC, Disney Character Voices Inc., Formosa Interactive LLC, Insomniac Games Inc., Epic Games, VoiceWorks Productions Inc. and WB Games Inc.

SAG-AFTRA said the authorization does not mean it is calling a strike against videogame makers but that companies have “refused to offer acceptable terms on some of the issues most critical to our members, including wages that keep up with inflation, protections around exploitative uses of artificial intelligence, and basic safety precautions.”

With bargaining sessions beginning Tuesday and set to run through Thursday, the union said it hopes “the added leverage of a successful strike authorization vote will compel the companies to make significant movement on critical issues where we are still far apart.”

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