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How Digital Domain Turned the World into a Video Game for ‘Free Guy’

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In 20th Century Studios’ Free Guy, the lines between real and digital are deliberately blurred, with the focus jumping between live-action and CG based on the point of view of the characters. For the filmmakers, it was like creating two movies in one, each requiring different techniques, from replacing actors with digidoubles to creating entire CG cities. With only a handful of visual effects studios in the world capable of doing it all, 20th Century Studios turned to veteran VFX house and Oscar® winner, Digital Domain.

“We worked closely with Shawn Levy and the filmmakers to essentially create Free City twice, once by augmenting live-action footage with digital additions, and again as a fully CG environment right out of a video game,” said Nikos Kalaitzidis, Digital Domain VFX supervisor. “There’s really nothing else out there that is quite like it, and that allowed us to do things we’ve never done before.”

 

The Two Sides of Free City

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Free Guy begins with a live-action introduction to the metropolis of Free City, as one of the game’s top players makes his dramatic entrance. As the character “BadAss” plummets toward the city, filmmakers used a combination of digital and practical effects, beginning with footage of the actor in a wire harness suspended by a retractable crane. BadAss soon turns his descent in a low-opening skydive, featuring a CG parachute, landing perfectly in a waiting convertible supercar. To make the transition from the fall to the landing, artists at Digital Domain created digidoubles of the actor, making an otherwise impossible stunt seem natural.

As the car speeds off into Free City, the filmmakers used a multi-camera rig and a crane on the car itself to film on the streets of Boston and against green screens. Digital Domain took that real footage of the car, the actor and the actress in the passenger seat, and created a new set of digi-humans for each performer, along with a CG model of the car. They then switched between live-action and digidoubles as the car dodges grenades, crowds, trees, motorbikes and more, all added by Digital Domain. Using a combination of live city footage with plates and CG buildings, the scene then pans up and through the window of the film’s protagonist Guy (Ryan Reynolds), as he awakes blissfully unaffected by the insanity around him.

Digital Domain began with previsualization, providing the filmmakers with multiple iterations of the city and what the world in general looked like, from both the live-action and game sides. Once Guy begins to gain notoriety, players frequently see his avatar wandering through the digital version of Free City. To create the game setting, Digital Domain used the previs assets, and built over 89 3D environments, created from modular buildings, then altered with different textures and materials. Artists then added individual flourishes by hand to replicate and stylize the real-world locations, including storefronts, residential and commercial buildings and more.

 

Mixing Worlds

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To populate the digital version of Free City, Digital Domain created digital versions of many of the characters, including Guy. To create the digital protagonist, Reynolds went to Digital Domain’s motion capture stages, where the actions for his movements were recorded and added to a library. He participated in a series of facial scans, all of which were combined to create a game-version of Guy that was similar to Reynolds, but slimmed down and stylized.

With Guy’s legend growing, the two worlds blur more and more, leading to a confrontation at a construction site. As two players sent by the developers – one dressed as a pink bunny, the other as a cop – chase Guy into an unfinished skyscraper, Digital Domain created both the interior and exterior of the building. The actors then performed in front of green screens and physical set pieces, allowing the filmmakers to create a superhuman chase.

As the action progresses upward, Guy jumps from floor to floor with inhuman ability, dodging weapons fire throughout. To allow Guy to move with unnatural movement, Digital Domain introduced a digidouble of Reynolds, while also adding additional props and environmental damage to fill out the scene. The environment then begins to morph thanks to the machinations of the game’s programmers. Digital Domain then ensured the shifting building retained the proper scale against the actors, while artists continually adjusted the lighting and textures. Guy eventually reaches the top of the building, where drone and helicopter footage was used to convey the sense of movement. It also gave a foundation for the live-action world outside, which was altered to reflect the fictional city’s skyline.

After falling from the building, Guy selects a “bubble suit,” which allows him to bounce safely – if awkwardly – toward the ground. To create the scene, the filmmakers used a stunt performer on wires positioned against a green screen for close shots, and a digidouble version of Reynolds for the wide shots and the more extreme bounces. Reynolds himself was then filmed in a prop bubble to show Guy after reaching the ground. The footage was then combined with recordings of a fast descent captured by a drone.

Digital Domain also helped to create Free City’s “Multiplayer Lounge,” a location where avatars can mingle, explore in-game weapons and watch feeds of the game world on large jumbotron screens. The multi-story structure regularly features dozens of players, all of which were recorded separately against a blue screen and added later by Digital Domain. The footage of the game – including a memorable moment when the live-action Guy sees a digital version of himself – were also provided by the VFX studio.

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Along with the digital version of the main actors, Digital Domain also created an additional 46 3D hero and background assets to help populate Free City.

 

The End of the World

When Guy grows too popular, the developers decide to reboot the game and start over. The sequence needed a unique look that still honored the game motif, so Digital Domain went back in time. Artists referenced low-res texture mapping and glitches from 80s video games.

The deletion of the world was completed using a relatively new technique known as “data-moshing,” where movement in one layer of footage is applied to another. The result is a scene that looks as if a digital video has been pixelated and damaged. To create this effect, Digital Domain used Houdini to render low-res texture maps, while combining it with Nuke. After a psychedelic final swirl, the world disappears, leaving a white void where only Guy remains.

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Rebuilding Actors
Along with the traditional digidouble work and animated characters, Free Guy also marks one of the first feature film uses of Digital Domain’s proprietary face-swapping tool, Charlatan. Utilizing neural networks, Charlatan takes existing footage and analyzes the movements down to the minutia. Artists then introduce a new face digitally constructed by hand, and the neural network in Charlatan matches it with the existing footage, replacing the original performance. Artists can then alter the facial movements to incorporate new expressions.

Late in the film, BadAss gives a speech with far-reaching implications. It’s vital to the plot and tone, and after seeing the finished results, the filmmakers decided that they needed to change the dialogue and add to it for the scene to have the necessary impact. Rather than schedule a new series of reshoots and force the actor back to read a handful of lines, various methods of animating the digital character were employed, with none producing a realistic and acceptable result. So Digital Domain decided to try Charlatan.

Artists created a new facial model of BadAss by hand, then used Charlatan to combine it with the original performance. Once the neural network was able to link the two and replace the original animation, the results were a more realistic digital avatar that could then mimic the actor’s facial mannerisms and movements to mimic reading the new lines. The actor then later recorded the new dialogue in ADR.

Free Guy was an ambitious project that required expertise in multiple techniques and disciplines to make it. And that’s exactly what Digital Domain was built for,“ said John Fragomeni, global VFX president at Digital Domain. “We worked closely with the filmmakers to help create a unique look and feel for the live-action world of Free City and the gameplay world, and we think audiences are going to be blown away by what they see.”

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Free Guy is in theaters now.

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Bragg Gaming Group Announces Record Third Quarter 2024 Revenue of Eur 26.2 Million (USD 29.3 Million)

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Bragg Gaming Group Announces Record Third Quarter 2024 Revenue of Eur 26.2 Million (USD 29.3 Million)

 

Bragg Gaming Group, a global B2B content-driven iGaming technology provider, reported record revenue for the third quarter of 2024.

Summary of 3Q24 Financial and Operational Highlights

Euros (millions)(1) 3Q24 3Q23 Change
Revenue € 26.2 € 22.6 15.9 %
Gross profit € 14.0 € 11.9 18.1 %
Gross profit margin 53.5 % 52.5 % 99 bps
Adjusted EBITDA(2) € 4.1 € 3.8 7.1 %
Adjusted EBITDA margin 15.6 % 16.9 % (129) bps
Operating Income (Loss) € (0.4) € (2.1) (81.0) %

(1) Bragg’s reporting currency is Euros. The exchange rate provided is EUR 1.00 = USD 1.12. Due to fluctuating currency exchange rates, this reference rate is provided for convenience only.
(2) “Adjusted EBITDA” is a non-IFRS measure. For important information on the Company’s non-IFRS measures, see “Non-IFRS Financial Measures” below.

Chief Executive Officer Commentary
Matevž Mazij, Chief Executive Officer for Bragg, commented, “The third quarter marked another period of strong growth and record results for Bragg. Revenue grew 16% year-over-year, gross profit increased 18%, and Adjusted EBITDA rose 7%. In the U.S., strong third quarter revenue gains from content distribution helped drive a 40% global increase in proprietary online content revenue year-over-year.

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“Additionally, we announced today that the Board of Directors has unanimously decided to conclude its review of strategic alternatives for Bragg. After extensive evaluation and deliberation, the Board determined that the ongoing execution of the Company’s strategic plan is the best way to maximize value for shareholders at this time.

“Since stepping in as Chairman 16 months ago and then as CEO 14 months ago, we’ve transformed our executive team, restructured commercial operations, and sharpened our sales strategy with a targeted, jurisdictional approach. These decisive actions position us to drive growth and capture market opportunities with greater precision and impact. Under new leadership, we’ve built a strong pipeline of tier 1 opportunities across key markets and key products, positioning Bragg for accelerated top- and bottom-line growth.

“With the strategic review process now complete, Bragg is now fully focused on commercialization and unlocking profitable growth, without the need for significant new investment in product development. Our decade-long investments in technology and talent, combined with a robust leadership team, have built a scalable platform that uniquely positions us for aggressive growth in 2025 and beyond. With significant operating leverage now within reach, we’re poised for an exciting, high-growth, and profitable future.”

Third Quarter 2024 and Recent Business Highlights

  • Launched its newest games and Remote Gaming Server (RGS) technology with Caesars Digital in Pennsylvania and Ontario. The launch marked the expansion of Bragg’s existing partnership with Caesars Digital, following earlier launches in New Jersey and Michigan respectively, doubling the number of states/provinces in which Bragg content is offered on Caesars Palace Online Casino and Caesars Sportsbook & Casino.
  • Launched its newest games and RGS technology with FanDuel in New Jersey, adding to its existing distribution with the leading North American operator in Michigan, Pennsylvania, Connecticut and Ontario
  • Post-quarter end, the Company additionally launched its newest games and RGS technology with bet365 in New Jersey, following on from its second quarter launch in Pennsylvania, and an earlier launch in Ontario with the major global iGaming operator
  • Launched HardRockCasino.nl in the Dutch market, supplying its cutting-edge player account management (PAM) software to the brand. The agreement is Bragg’s 6th PAM customer in the Netherlands, reinforcing Bragg’s status as the leading technology and content supplier in the Dutch market
  • Launched the Kambi sportsbook on 711.nl, adding an additional revenue-generating product stream to a key PAM customer in the Netherlands
  • Management is pleased to announce the appointment of Robbie Bressler to CFO of Bragg, effective immediately. Robbie had been serving as Bragg’s interim CFO since July 1, 2024.

Additional September 30, 2024 Key Financial Metrics

  • For the nine-month period ended September 30, 2024, Cash flow generated from operations was EUR 8.4 million (USD 9.4 million), compared to EUR 6.2 million (USD 6.9 million) for the nine-month period ended September 30, 2023.
  • Cash and cash equivalents as of September 30, 2024 was EUR 11.6 million (USD 13.0 million) and net working capital, excluding deferred consideration, loans payable, and convertible debt, was EUR 11.3 million (USD 12.7 million)

Strategic Alternatives Process Concluded
The Bragg Board announced the strategic alternatives process in March 2024 with the formation of a Special Committee, comprised solely of independent members of the Board. The Committee, together with its advisors Oakvale Capital LLP and Blake, Cassels & Graydon LLP, evaluated a wide range of strategic alternatives for maximizing shareholder value including a potential sale or merger of the Company. Bragg solicited interest from a significant number of potential counterparties and received multiple non-binding proposals.

After careful consideration, the Board, on recommendation from the special committee, unanimously determined that none of the proposals received reflect the Company’s intrinsic value or current and projected financial performance, and therefore elected to conclude its review and disband the Special Committee.

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Don Robertson, independent Board member and Chair of the Special Committee, said, “After a comprehensive and exhaustive process, the Committee recommended, and the Board unanimously agreed, that continuing to execute Bragg’s strategic plan as an independent public company is the best approach for maximizing shareholder value. Although the process has now concluded, Bragg’s Board will continue to be open to and consider all opportunities for enhancing shareholder value.”

“Over the past year, our financial performance, cashflow generation and revenue outlook have significantly improved. We remain extremely confident about our business plan, operating strategy, and financial prospects” said Matevž Mazij, Chairman and CEO of Bragg.

Reiterates Full Year 2024 Guidance and 2025 Outlook
Bragg reiterates its 2024 full year revenue guidance range of EUR 102.0-109.0 million (USD 114.2-122.1 million) and its full year Adjusted EBITDA range of EUR 15.2-18.5 million (USD 17.0-20.7 million), noting that the Company is currently tracking to the lower end of guidance.

Bragg is actively advancing a robust pipeline of opportunities that is anticipated to drive strong momentum as we enter 2025. The outlook for 2025 remains positive, with expectations of sustained double-digit top line growth, expanding bottom line margins, and increased operational leverage, further strengthening Bragg’s position in the market. The preceding guidance and outlook constitute forward-looking information within the meaning of applicable securities laws, and is based on a number of assumptions and subject to a number of risks.

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BetMGM and Vegas Golden Knights Announce Multi-Year Partnership Extension

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BetMGM and Vegas Golden Knights Announce Multi-Year Partnership Extension

 

BetMGM, a leading sports betting and iGaming operator, announced an extension of its partnership with the Vegas Golden Knights through the 2026-27 season. As part of the agreement, BetMGM will continue as an Official Betting Partner of the Vegas Golden Knights with prominent signage on the Knight Tron and throughout T-Mobile Arena as well as co-branded content and exclusive promotions. The partnership also features multiple fan engagement opportunities including watch parties and Toshiba Plaza activations.

“BetMGM is proud to continue our partnership with the Vegas Golden Knights, giving us the opportunity to create memorable moments alongside one of the world’s most passionate hockey fan bases. Las Vegas is BetMGM’s hometown and an integral part of our DNA, so the Golden Knights are a natural fit for our brand.” – Matt Prevost – BetMGM, Chief Revenue Officer.

Throughout the season, BetMGM will host watch parties featuring team mascots at various MGM Resorts destinations. The operator also will plan activations in Toshiba Plaza during select Golden Knights home games where fans can begin the BetMGM mobile app registration process for the chance to win prizes.

“BetMGM is a long-standing partner with the Golden Knights and a brand synonymous with this great city,” said Vegas Golden Knights President and CEO Kerry Bubolz. “We look forward to continue working together on events and activations that we know entertain our fans.”

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Lance Evans, SVP Sports and Sponsorships, MGM Resorts, said, “The Vegas Golden Knights play a core role in the Las Vegas sports and entertainment experience and it’s a privilege to welcome both local and visiting fans to our properties before, during and after games. Together with BetMGM, we look forward to co-hosting events that will allow guests to engage with their favorite teams in new and exciting ways.”

BetMGM users can take advantage of the robust offering of prop markets for Golden Knights games this season, frequent in-app odds boosts and the interactive same game parlay betting feature. New BetMGM customers who download the BetMGM app and verify at one of BetMGM’s nine retail sportsbooks within walking distance of T-Mobile Arena will receive a first bet offer of up to $250 paid back in bonus bets if their first bet loses (offer only available in Nevada; bonus bets are non-withdrawable and expire in seven days.) Through the recently launched single account and wallet app upgrade, BetMGM users who sign up in Nevada and reside in other BetMGM U.S. mobile markets can continue to wager upon returning home.

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EVERI STOCKHOLDERS APPROVE ACQUISITION BY APOLLO FUNDS

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EVERI STOCKHOLDERS APPROVE ACQUISITION BY APOLLO FUNDS

 

Everi Holdings Inc., a premier provider of land-based and digital casino gaming content and products, financial technology, player loyalty solutions, and bingo, announced that its stockholders have voted at a special meeting of Everi stockholders to approve the pending simultaneous acquisition of Everi and the Gaming & Digital business of International Game Technology PLC by a newly formed holding company owned by funds managed by affiliates of Apollo Global Management, Inc. through a merger. As previously announced, pursuant to the terms of the merger agreement, Everi stockholders will receive $14.25 per share in cash for every share of Everi common stock they own immediately prior to the effective time of the merger.

At the Special Meeting, approximately 99.88% of the shares voted were voted in favor of the merger, which represented approximately 71.48% of the total outstanding shares of Everi common stock as of October 3, 2024, the record date for the Special Meeting.

“We are pleased that our stockholders supported our transaction with the Apollo Funds,” said Michael Rumbolz, chairman of the Company’s Board of Directors. “We now shift our focus to the important next steps toward completing the transaction and maximizing value for Everi stockholders.”

Assuming timely satisfaction of necessary closing conditions, the proposed transaction is expected to close by the end of the third quarter of 2025.

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The final voting results on the proposals voted on at the Special Meeting will be set forth in a Form 8-K filed by the Company with the U.S. Securities and Exchange Commission (the “SEC”).

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