Legal

European Watchdog Takes Aim at In-Game Purchases

Published by
James Fudge

The European Consumer Organisation (BEUC) and 22 member countries in Europe filed a complaint with the European Commission and the European Network of Consumer Authorities this week, claiming that several major game developers and publishers are engaging in misleading tactics to trick consumers into spending money in the popular games, Reuters reports.

Companies named in the complaint include Epic Games (Fortnite, Rocket League), Electronic Arts (EA FC 24, Madden NFL 25), Roblox, Microsoft-owned companies Activision Blizzard (Call of Duty, World of Warcraft, Overwatch 2 maker) and Mojang Studios (the developer behind Minecraft), Tencent-owned developer Supercell (Brawl Stars, Clash of Clans, Clash Royale, and Hey Day maker) and Ubisoft (Rainbow Six Siege and Assassin’s creed series developer and publisher).

The complaint alleges that these and other companies are using “manipulative spending tactics” that compel gamers (specifically younger gamers) to buy in-game items using virtual currencies.

BEUC said in its complaint that children in Europe spend an average of around 39 ($43 USD) a month on in-game purchases, but are overspending because in-game items are not showing the value/cost of purchases in real-world currency. BEUC claims that these companies are breaching European Union consumer protection laws and call for more transparent messaging on pricing in real-world currency in games.

In a statement, BEUC Director General Agustin Reyna said the following:

“BEUC’s members have identified numerous cases where gamers are misled into spending money. Regulators must act, making it clear that even though the gaming world is virtual, it still needs to abide by real-world rules.

“Today, premium in-game currencies are purposefully tricking consumers and take a big toll on children. Companies are well aware of children’s vulnerability and use tricks to lure younger consumers into spending more.” 

The European Commission confirmed with Reuters that it had received the complaint and was currently analyzing it.

Share
James Fudge

With a career spanning over two decades in the esports and gaming journalism landscape, James Fudge stands as a seasoned veteran and a pivotal figure in the evolution of esports media. His journey began in 1997 at Game-Wire / Avault, where he curated gaming and community news, laying the groundwork for his expertise in the field. In his more recent roles, James cemented his status as an authority in the esports business sphere as Senior Editor Esports at Sports Business Journal and The Esports Observer between 2018 and 2021.

Recent Posts

Riot Details Tier-1, Tier-2 Format for Americas League

As reported in June, Riot Games will move the current leagues League Championship Series (LCS…

4 hours ago

Patron Reveals $100M USD Fund II

Early-stage venture capital firm Patron announced Tuesday that it has raised a $100M USD Fund…

1 day ago

CORSAIR Set to Acquire Fanatec Sim Racing

Computer hardware and gaming peripherals manufacturer CORSAIR (Nasdaq: CRSR) announced this week that it has…

1 day ago

Epic Global Becomes Feenix Group

UK-based Epic Global announced this week that it has rebranded as Feenix Group following an…

1 day ago

What Happened to the IESF’s Asian Esports Championship in Chengdu?

Sources familiar with the situation who asked not to be publicly identified tell The Esports…

5 days ago

More Layoffs Planned for Microsoft Gaming

Microsoft plans to eliminate 650 roles from its Microsoft Gaming division, according to a new…

5 days ago