EU consumer authorities have embarked on an investigation into nine prominent gaming companies, scrutinizing their practices regarding player spending transparency. The inquiry delves into the potential pressure exerted on players to purchase more virtual currency than necessary, raising questions about consumer rights and the clarity of pricing in popular games such as Minecraft, Candy Crush Saga, Clash of Clans, and Valorant.
The core of the dispute lies in how these games communicate the actual costs associated with purchases made using virtual coins. Consumer authorities are advocating for clearer pricing structures and an end to the perceived pressure to acquire excessive amounts of in-game currency. In contrast, industry representatives argue that implementing these changes could necessitate costly redesigns and disrupt the overall gaming experience.
Virtual coins, real legal arguments
In response to the investigation, Video Games Europe and the European Game Developers Federation have voiced their concerns regarding the regulators’ classification of in-game currencies. They assert that these currencies should not be equated with cryptocurrencies like bitcoin. Their proposals highlight that extensive redesigns could render some games economically unviable in Europe, particularly for smaller developers.
Andreas Lober, a legal advisor to gaming companies, expressed skepticism about the authorities’ approach in a recent commentary. He noted, “While the CPC Network asserts it is applying existing laws, it appears to be extending them, potentially beyond permissible limits.” Lober further elaborated on the complexities of pricing items in euros when players can acquire coins through various means, complicating the notion of treating each transaction as a distinct consumer exchange.
Smaller bundles and refunds offered
In light of these challenges, the gaming industry has proposed solutions such as tailored top-ups and smaller currency bundles, allowing players to purchase only what they need. Additionally, they have suggested providing indicative real-money prices and offering refunds for completely unused bundles within a 48-hour window, subject to specific conditions.
While the CPC Network asserts it is applying existing laws, it appears to be extending them, potentially beyond permissible limits.
— Andreas Lober, lawyer
Jari-Pekka Kaleva, managing director of the federation, expressed disappointment that the CPC network was not willing to engage further in developing industry proposals. Meanwhile, regulators have indicated that previous discussions did not yield satisfactory results, prompting them to initiate direct conversations with the individual companies. If unresolved, national enforcement measures may be on the horizon, with a focus on achieving clearer pricing, cancellation rights, and enhanced protections for younger players.
EU probes Minecraft and Candy Crush over hidden costs
EU consumer authorities have embarked on an investigation into nine prominent gaming companies, scrutinizing their practices regarding player spending transparency. The inquiry delves into the potential pressure exerted on players to purchase more virtual currency than necessary, raising questions about consumer rights and the clarity of pricing in popular games such as Minecraft, Candy Crush Saga, Clash of Clans, and Valorant.
The core of the dispute lies in how these games communicate the actual costs associated with purchases made using virtual coins. Consumer authorities are advocating for clearer pricing structures and an end to the perceived pressure to acquire excessive amounts of in-game currency. In contrast, industry representatives argue that implementing these changes could necessitate costly redesigns and disrupt the overall gaming experience.
Virtual coins, real legal arguments
In response to the investigation, Video Games Europe and the European Game Developers Federation have voiced their concerns regarding the regulators’ classification of in-game currencies. They assert that these currencies should not be equated with cryptocurrencies like bitcoin. Their proposals highlight that extensive redesigns could render some games economically unviable in Europe, particularly for smaller developers.
Andreas Lober, a legal advisor to gaming companies, expressed skepticism about the authorities’ approach in a recent commentary. He noted, “While the CPC Network asserts it is applying existing laws, it appears to be extending them, potentially beyond permissible limits.” Lober further elaborated on the complexities of pricing items in euros when players can acquire coins through various means, complicating the notion of treating each transaction as a distinct consumer exchange.
Smaller bundles and refunds offered
In light of these challenges, the gaming industry has proposed solutions such as tailored top-ups and smaller currency bundles, allowing players to purchase only what they need. Additionally, they have suggested providing indicative real-money prices and offering refunds for completely unused bundles within a 48-hour window, subject to specific conditions.
Jari-Pekka Kaleva, managing director of the federation, expressed disappointment that the CPC network was not willing to engage further in developing industry proposals. Meanwhile, regulators have indicated that previous discussions did not yield satisfactory results, prompting them to initiate direct conversations with the individual companies. If unresolved, national enforcement measures may be on the horizon, with a focus on achieving clearer pricing, cancellation rights, and enhanced protections for younger players.