"Outpaces," is the word the FTC's report uses in describing the games industry's conduct among its peers, noting the 80 percent prevention rate in keeping M-rated content from minors, and keeping ads for M-rated games off the television prior to 10 pm.

Further: "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."

Entertainment Software Association President Michael Gallagher called the report "a strong acknowledgement and validation that industry-led self-regulation efforts are the best way to provide parents and retailers with the resources and support they need to keep our kids' entertainment experiences suitable."

The report evaluates the marketing and adevertising practices across the entertainment industries. It's the FTC's seventh such report since 2000.

Games Industry Best Regulated of All Entertainment Sectors [GamesIndustry.biz]

"It's time politicians who just want to be politicians got out of the way and let people who have run businesses, created jobs and made decisions they've had to live with, go to Washington and straighten out this mess," according to the election site for Ward, who resigned from LucastArts early last year. "I've got that skill set along with the ability to make the right kind of change. I hope you'll agree."

Ward writes on his official bio page on the Jim Ward for Congress 2010: The Right Kind of Change, that after leaving LucasArts he went to Alsop Louie Partners as a "venture partner" where he "provides the necessary resources and guidance to new companies that have the capacity to develop new technologies, provide jobs, support the local economy and pay taxes."

On the site Ward also touts his experience at LucasArts saying that he managed the Star Wars and Indiana Jones franchises and led the growth of the video game company "creating such popular award winning games as Star Wars Battlefront, Star Wars Lego and Star Wars: The Force Unleashed."

We've reached out to Ward for comment and will update if and when he replies.

Jim Ward For Congress 2010

Citing research studies that show a link between violent video games and child aggression, Baca believes that the Consumer Product Safety Commission needs to institute a rule that all games rated T or higher be labeled with the following: "WARNING: Excessive exposure to violent video games and other violent media has been linked to aggressive behavior.”

“We must hold the video game industry accountable and do everything in our power to ensure parents are aware of the detrimental effects that violent games can have before making decisions on which games are appropriate for their children to play,” concluded Rep. Baca. “I am proud to introduce the Video Game Health Labeling Act of 2009, and am hopeful my legislation can work to stop the growing influence of violent media on America’s children and youth.”

Hey, I'm all for it, if Baca can come up with solid, irrefutable scientific proof that this is indeed the case. We've seen countless research reports arguing both sides of the subject; let's nail down something definitive before we start uglying up our game store shelves. I've a feeling this won't go anywhere and Joe Baca will go back to Kashyyyk.

Rep. Baca Introduces Legislation to Make Violent Video Games Sold With Health Warning Label [Press Release via The Escapist]

Second Life is a convenient punching bag for gamers, and I feel kind of bad caning on it two days straight. But it invites the abuse with this kind of oblivious, self-serious self-parody: Rep. Ed Markey's avatar gaveling the online hearing, and in the public gallery there is "a goth character with feathered wings, a pink cat, a phantom with shimmering gray dreadlocks, a winged grasshopper, women in tube and bikini tops, and a naked man floating through the air." At least the griefers didn't show up to overrun the meeting with flying penises.

Here's something: In real life, I loathe it when some demonstration making a point I support is inevitably overtaken by stilt-walkers, puppeteers and bongo-drumming hippies. Like, way to take that message to the mainstream, folks. In Second Life, aren't they sick of having every furry, faerie and goth speak for the whole — especially in Congress? Or are they the communities busybodies, the ones who come to every Second Life PTA meeting?

The Washington Post's Dana Milbank, writing about the hearing, notes that its ostensible purpose was in probing the downsides of online worlds (child exploitation, terrorist recruiting, etc.) He correctly points out that it amounted to "an infomercial for Second Life." The founder got to play a promotional video and boast that Second Life is changing the nature of communication itself. Um, no. Sequestering people at their computers for hours out of the day and ensuring their only contact with a human being — some of it sexual — is through the prism of a computer screen, is not for my money a real communication breakthrough. A variant, sure.

This reminds me of the time on King of the Hill, when Hank confronts the Christian rock band. "Listen, you're not making Christianity better, you're making rock and roll worse." I'd like to say the same thing, substituting "communication" for Christianity, and "online gaming" for "rock and roll."

Goofy Characters and Weird People — Sounds Like a Hearing [The Washington Post, thanks OriontheSmiter]

Beware! You can be sent to Louisiana State Penitentiary at Angola for selling a computer game to a teenager if that game appeals to a kid's "morbid interest in violence"... Applying a strict reading of Louisiana's law, you can earn jail time by selling "Pac Man" to a 17-year-old. After all, what is Pac Man but a fight between the player and four pixilated ghosts, each doing nothing but consuming each other and their surrounding landscape. That sounds like violence to me.

That's a rather obvious point, but it deserves repeating. I am most interested in his subtler point that online Internet sales and digital distribution means that publishers who choose to follow ESRB ratings under such arbitrary jackass laws will actually be being punished for trying to advise retailers of their games' content, not vice versa. Florian Eckhardt

Dr. Jerald Block: Are we ready to give jail time for selling 'Pac Man' to a 17-year-old? [Shreveport Times]

A definitely fake Grand Theft Auto 4 screenshot popped up on the Web this week. We questioned it's credibility, then were handed some proof of how easy something like this is to fake. My rule for determining authenticity? I reflect on all the other leaked screenshots of GTA4 to come from Rockstar. All zero of them.

Like Geometry Wars but hate digital distribution? You're in luck! Microsoft's Peter Moore wants to bring your favorite Xbox Live Arcade titles to brick and mortar stores.

Nintendo boss Iwata says it's time for the industry to re-examine how it handles pricing (and pronto!). Citing slash and sell pricing practices and inappropriate dollar to value schemes, Iwata wants to stabilize the biz. I couldn't agree with him more.

Force feedback tech company Immersion's lawyers are still on the prowl, still scrapping with Sony and firing up the lawsuit machine, ready to take on Nintendo. Lots of posturing and digs at Sony's PlayStation 3 controller decisions follow.

And speaking of Sony's PS3 controller, the lads at PlayStation Magazine just want to show you how the two great tastes of force feedback and motion sensing taste great together.

In equally exciting law news, the UK Court of Appeals passed judgment on Sony's attempt to have the PS2 classified as a "computer" not a games console. Verdict? Sorry, Sony! Fork over that hefty tax check.

Congress tackled the burning issue of violence in video games, clearly our nations number one priority. Fortunately, greying Daily Show anchor Jon Stewart and gifted pool of writing talent took them to task on their total stupidity. Do not miss.

Prey, the long time vaporware FPS, became much more tangible this week, as the game went gold and took on the form of a downloadable demo. Expect the Xbox Live demo any minute now.

Finally, we got into a bit of a pissing match with IGN over some hilarious pranks pulled by the editorial staff. We're still angry about it too. And for the record, we're better pissers.

"According to the FTC, the companies, in advertising the Entertainment Software Rating Board ("ESRB") rating for the game, did not tell consumers that the game discs contained potentially viewable nude female characters and a potentially playable sex mini-game. Although San Andreas players could not access or view this sexual content during normal game play, sophisticated players posted a program on the Internet, dubbed "Hot Coffee," that revealed this content on the PC version of the game," FTC officials said.

While the company was not fined, they have been placed on notice that if they again violate the ratings, they will be subject to a civil fine of up to $11,000 per a violation.

Calls into Take-Two Interactive, the Entertainment Software Association and Senator Hillary Clinton had not been returned as of press time.

Today's findings come after a nearly year-long investigation into the publisher, developer Rockstar Games and the infamous Hot Coffee content found in Grand Theft Auto: San Andreas.

Hot Coffee, a bit of hidden sex found behind the apartment doors of the game, was discovered last July after a modder released a hack for the game that unlocked the previously hidden content.

At the time Rockstar first denied the claim that the content was in the game and then later said it was a piece of unused programming left on the disc, but not meant to be seen or played.

On July 20, the Entertainment Software Rating Board rescinded the game's rating and asked retailers to stop selling the game.

Take-Two agreed to a recall and rereleased the game with the content removed. According to the FTC, Take-Two incurred $24.5 million in losses associated with the GTA recall.

The recall came a week after Sen Hillary Clinton called for the FTC to investigate Take-Two interactive for deceptive marketing practices. That was followed by a similar request by the House of Representatives, which passed a resolution asking for an investigation.

While neither Clinton nor the House have the force of law to require the FTC to launch the investigation, it did certainly help the commission decide to look into Hot Coffee.

When I spoke with FTC spokeswoman Claudia Bourne Farrell last year she told me that the investigation would only be made public if enforcement action were taken. She added that in general, if the FTC were to find wrongdoings in an investigation, they have the ability to require a defendant to "give up their ill-gotten gains."

The FTC found that Take-Two and Rocksta Games violated the FTC Act by "representing that San Andreas had been rated "Mature" and assigned certain content descriptors by the ESRB, but failing to disclose to consumers that the game discs contained unused, but potentially viewable, nude female images and disabled, but potentially playable, software code for a sexually explicit mini-game that the ESRB had not rated."

Instead of fining the company, the FTC proposed a concenst agreement that requires the company to disclose all hidden content on their packaging that might be relavent to the rating, unless it was disclosed to the ESRB during the rating process. They also are requiring the comapany to develope a system to ensure that all content in a game is considered and reviewed while preparing to submit a game to the ESB.

Take-Two agreed to the proposal and the commission voted 5 to zero to accept it.

While Take-Two got off with a slap on the wrist, the greater issue at stake here is Clinton's claim that the ESRB's rating system is currently ineffectual at enforcement. Clinton would rather have a government run rating system than one run by the industry.

As this unfolds, nearly a year after Hot Coffee scalded the industry, congressional hearings are gearing up to examine both the impact gaming has on childen and the effectiveness of the ratings board. Coincidentally, just hours before the FTC announcement, Clinton put out her "Media Guide for Parents." The guide, she says, is to help parents make sure that when their children are on the Internet, playing video games or watching TV, it's safe and age-appropriate."

I've said it before and I'll say it again, this is video games own Seduction of the Innocents. Welcome to the Fourties