1-up (plural 1-ups) (video games) An item that grants the player an extra life in the game, staving off game over by one more try. (video games) In a game with multiple players, an indicator or identifier of player 1.

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It was likely meant to signify, well, an extra life, described as another call out to the player first player. But whatever the original intention, 1-Up nearly instantly became synonymous for “extra life” in any video game.