In a significant move to foster innovation, Nevada has revamped its process for game manufacturers. Previously, developers needed to secure licensing rights for certain franchises before pitching their game concepts. Now, the state will review game designs based on popular Intellectual Property (IP) even before the developers have obtained these rights.
This regulatory change aims to encourage developers like Aristocrat and International Game Technology to present their game ideas based on franchises they believe they have a good chance of securing rights for.
During a December 19 meeting, the Nevada Gaming Commission approved the new rules. Jim Barbee, Gaming Control Board Technology Division chief, explained the amendment:
“This will make it clearer that they can bring their ideas in front of the Board, while they’re exploring the acquisition of the IP and find out if this is something I can even get on the floor. I look at it as a potential boon for the industry. Perhaps in the future, we’ll see more IP-related game themes, because the industry might not be inhibited by the current language of the law.”
Previously, developers had to secure IP rights before pitching a game design, stifling innovation and making developers wary of taking risks. However, regulators have often reviewed such applications knowing that not all companies had secured the rights yet, but were likely to do so based on their status within Nevada’s gaming ecosystem.
Barbee emphasized that this change won’t burden regulators with meritless submissions, as companies will still need to present a reasonable prototype showcasing core features and graphics. This approach allows developers to gain feedback from regulators without the lengthy process of securing a licensing deal first.
Commissioner Brian Krolicki added that it’s acceptable for developers to obtain the IP while developing their game, marking an end to the previous, more restrictive process.
