Take-Two Strikes Deal With Baseball Union

Updated from 12:45 p.m. EST

Take-Two Interactive (TTWO Quote) struck back at Electronic Arts (ERTS Quote) on Monday, reaching an agreement that could lock its rival out of the baseball game market.

Take-Two has reached an agreement in principle with the Major League Baseball Players Association that would give Take-Two the right to market and develop games based on players' names and likenesses for seven years. While the deal would leave open the possibility that console manufacturers such as Sony (SNE Quote) and Microsoft (MSFT Quote) would also be able to develop such games, it would bar other third-party developers such as EA from the market.

"The upcoming change in technology makes this the perfect time for us to implement our plan for growing the business, and we have no doubt that Take2's proven creativity and innovation ... will add real excitement and depth to the video game marketplace," said John Olshan, category director for interactive games for the MLBPA, in a statement. ...