Epic Games, EA and other video game firms hit with EU complaint over ‘manipulative spending tactics’

Sep 12, 2024 at 11:11 AM

Exposing the Deceptive Practices of the Video Game Industry

The European Consumer Organization (BEUC) has filed a complaint against major video game companies, accusing them of misleading gamers into overspending on in-game purchases. The complaint, which targets companies like Epic Games, Electronic Arts, Roblox, Microsoft's Activision Blizzard, Mojang Studios, Supercell, and Ubisoft, alleges that the industry is exploiting consumers, particularly children, through manipulative tactics that obscure the true cost of digital items.

Uncovering the Hidden Costs of Gaming

Lack of Price Transparency

The BEUC and its members argue that the video game industry's use of premium in-game currencies makes it difficult for consumers to understand the real cost of digital items. By requiring players to purchase these currencies in bundles, the companies are pushing them to spend more than they intended. The organization believes that in-game purchases should always be displayed in real-world currency, such as euros, to ensure transparency and prevent overspending.

Exploiting Children's Vulnerability

According to the BEUC's data, children in Europe are spending an average of €39 per month on in-game purchases. The organization alleges that companies are well aware of children's vulnerability and are using deceptive tactics to lure them into spending more. This includes the use of manipulative design elements and psychological techniques that prey on the natural impulses of young gamers.

The Toll on Consumers

The BEUC's director general, Agustín Reyna, has stated that the online gaming world has brought new challenges for consumer protection, and that companies should not be allowed to "bend the rules to increase profits." The organization argues that gamers should not have to rely on a calculator every time they want to make an informed decision about their spending, and that deceptive practices must be stopped.

The Need for Regulatory Action

The BEUC and its members have called on regulators to take action and make it clear that the virtual gaming world must still abide by real-world rules. They believe that the lack of price transparency and the use of manipulative tactics are unacceptable and that companies must be held accountable for their actions.

The Broader Implications

The BEUC's complaint highlights a broader issue within the video game industry, where the pursuit of profits has led to the exploitation of consumers, particularly vulnerable populations like children. As the gaming industry continues to evolve and expand, it is crucial that regulators and consumer protection agencies remain vigilant in ensuring that the rights and well-being of gamers are protected.