EU consumer watchdog says in-game currencies trick gamers

Sep 13, 2024 at 12:00 AM

Unmasking the Deception: How In-Game Currencies Exploit Gamers, Especially Children

The European Union's consumer watchdog has filed a new complaint against major gaming companies, accusing them of using deceptive tactics with in-game currencies to trick gamers, particularly children, into spending more money. The complaint targets companies like Roblox, Electronic Arts, Epic Games, and others, who have implemented premium in-game currencies as a means of purchasing digital goods, obscuring the true cost of these items.

Exposing the Manipulative Practices of the Gaming Industry

The Illusion of In-Game Currencies

The use of premium in-game currencies is a deliberate strategy employed by game developers to distance gamers from the real-world value of the digital items they are purchasing. By exchanging real money for these virtual currencies, the immediate perception of the actual cost is diminished. Gamers are then left with the decision of either forfeiting the desired item or investing more money to acquire the necessary amount of the premium currency. This tactic, often aimed at children, is designed to exploit their vulnerability and lure them into spending more.

Exploiting Gamers' Psychological Vulnerabilities

The complaint highlights the predatory nature of these practices, as game companies are well aware of the psychological impact they have on gamers, particularly children. The division of premium currency into odd amounts, which may or may not be sufficient to purchase the desired item, creates a sense of uncertainty and a compulsion to acquire more. Gamers who have already invested in the initial currency are more likely to continue spending, as they feel a need to maximize their previous investment, even if it means purchasing additional currency.

The Troubling Trend of Addiction and Exploitation

The issue of in-game currencies has become a growing concern for parents, who have expressed concerns about their children's potential addiction to certain games. The complaint alleges that game developers intentionally design their games to foster addiction, turning children into captive audiences for their monetization strategies. This is not the first time Epic Games has been implicated in such practices, as the company was previously fined by the Federal Trade Commission for allowing children to make in-game purchases without parental consent.

Roblox's Shift Towards Real-Money Transactions

Interestingly, the complaint also comes at a time when Roblox, one of the companies named in the complaint, has announced plans to integrate real-money purchases into its platform. While this move is intended to provide developers with more opportunities to generate revenue, it remains to be seen whether it will address the underlying concerns raised by the EU consumer watchdog. The company has stated that the real-money purchases will be limited to paid access games, while the use of Robux, Roblox's in-game currency, will still be required for the purchase of digital goods.

The Need for Regulatory Oversight and Consumer Protection

The complaint filed by the European Consumer Organization highlights the urgent need for greater regulatory oversight and consumer protection measures in the gaming industry. The use of manipulative tactics, such as in-game currencies, that target vulnerable populations, particularly children, raises serious ethical concerns and calls for a more transparent and responsible approach to game monetization. As the gaming industry continues to evolve, it is crucial that policymakers and consumer advocates work together to ensure that the rights and well-being of gamers are prioritized over the pursuit of profit.