It's immoral if it causes grief/pain to the other party, either financially or having to deal with the repercussions. Since blackmail by it's nature is a choice between one of two painful outcomes, it's rotten to the core.
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"'There's a tendency among the press to attribute the creation of a game to a single person,' says Warren Spector, creator of Thief and Deus Ex."
-- From an IGN game review.
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