Video Game Legal Framework Opens New Opportunities for Development of Industry in Brazil, Study Shows

Brazil's Law No. 14,852/2024 officially recognizes games as interactive audiovisual works, establishing clearer guidelines for public policies within the industry. This Video Game Legal Framework aims to stimulate Brazil's digital gaming sector. A report by the Secretariat of Audiovisual (SAV) under the Ministry of Culture (MINC) explores these opportunities and outlines strategies to bolster local game production, promote the development of domestic IP, and integrate the sector into the country's broader innovation and economic development initiatives. The report also analyzes past industry policies, which for decades operated with regulatory gaps and relied on frameworks designed for other sectors, such as cinema or software.

Game consultant Pedro Santoro Zambon, a researcher at Utrecht University and founder of Savegame.dev, views this new legal framework as a significant step toward integrating games into Brazil's primary public policies. The law clarifies that video games are software with visuals, played on computers, consoles, or phones, and explicitly excludes betting or gambling. This resolves previous ambiguities that hindered game developers from accessing public support. By classifying video games as cultural products, similar to films and television programs, the law enables them to access funding and incentives available to other creative industries. This opens avenues for the gaming sector to utilize established funding and incentive programs. According to Raquel Gontijo, Institutional Director of the Brazilian Game Developers Association (ABragames), the legislation's approval marks a major milestone for the Brazilian game industry, something the sector has long awaited. The immediate impact is the official recognition of game development and production as structured activities, facilitating greater support for credit, training, and intellectual property rights. This strengthens the creation of Brazilian intellectual property, crucial for the industry's expansion, and allows games to access existing funding mechanisms as interactive audiovisual works.

Zambon notes that past government policies over the last two decades have contributed to the creation of national studios and projects, though many initiatives adapted policies from other cultural sectors. Since 2004, the gaming sector has occasionally received support, such as loans for initial game concepts, but these were largely derived from pre-existing arts programs. Gontijo emphasizes the need for Brazil to develop its own games to achieve global success, stating that merely providing services will not foster long-term growth. Proprietary intellectual property will allow Brazilian studios to compete more effectively in the international market, enabling them to license, export, franchise, and engage in coproduction deals on a level playing field.

Brazil possesses strong technical skills but must establish secure conditions for investment in original content, including legal certainty and access to funding, Gontijo points out. Despite Brazil's significant gaming consumer market, generating approximately $2.6 billion annually, its role in production remains limited. This presents both challenges and opportunities for the country. Gontijo stresses that development alone is insufficient; publishing and distribution also pose significant challenges. Law No. 14,852/2024 supports Brazil's gaming sector through public policy, defines games as distinct from betting and gambling, facilitates access to established funding sources such as ANCINE's Audiovisual Sectoral Fund, and encourages the creation of Brazilian intellectual property to foster industry growth. While the new Video Game Law represents significant progress, further action is required. Zambon emphasizes the need for detailed implementation plans, including regulations for classifying game ownership for tax purposes, adjusting tax breaks, streamlining equipment imports, and establishing specific incentives. The law also addresses the integration of games into public policy, the establishment of game libraries, and the registration of intellectual property with the National Institute of Industrial Property (INPI). To that end, MINC has established a working group through Ordinance No. 26/2026, tasked with proposing regulations for the gaming industry.

Effective Regulation Key to Transforming Brazil's Digital Gaming Sector with Authentic Narratives

The success of Brazil's new Game Law hinges on effective regulation, according to Gontijo. She believes that prompt and expert regulation will determine whether the law genuinely benefits studios or remains merely symbolic. Brazil has the potential to make a significant impact in the global digital gaming arena, leveraging its unique cultural assets. Beyond simply creating more games, the focus should be on crafting narratives that are authentically Brazilian. Successfully implementing this law could revolutionize the industry, fostering national production, enhancing Brazilian intellectual property, and bolstering global competitiveness.

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