The European Consumer Organisation (BEUC) and 22 of its member groups across Europe have filed a complaint against eight major videogame companies, accusing them of using manipulative tactics to trick consumers, particularly children, into spending money on in-game purchases. The complaint, submitted to the European Commission and the European Network of Consumer Authorities, targets industry giants such as Epic Games, Electronic Arts, Roblox, Microsoft’s Activision Blizzard, Mojang Studios, Supercell, and Ubisoft.
According to BEUC Director General Agustin Reyna, “Premium in-game currencies are purposefully tricking consumers, and this takes a big toll on children. Companies are well aware of children’s vulnerability and use tricks to lure younger consumers into spending more.” The consumer groups argue that these companies are violating EU consumer protection laws by failing to provide clear information about the real-world cost of digital items, leading to overspending and denial of consumer rights.
The complaint comes amid growing concerns about video game addiction among children, with some parents claiming that game developers are deliberately creating products to foster addiction. In Europe, 84 percent of 11 to 14-year-olds play video games, and those making in-game purchases spend an average of €39 each month on various gaming extras, as reported by Techxplore. The global in-game purchases market is valued at around $50 billion as of 2020.
According to Reuters, in response to the complaint, Video Games Europe, a trade association representing the videogame industry, defended their members’ practices, stating, “Our members are committed to providing a safe and enjoyable gaming experience for all players, including children. We have implemented various measures to ensure responsible gaming and protect consumers from potential harm.”
The complaint’s potential impact on the videogame industry remains to be seen, but it could lead to regulatory action by the European Commission and the European Network of Consumer Authorities as pointed out by RFI. BEUC has recommended that real-life currency be used instead of virtual currencies to give consumers a clearer understanding of the money they are spending, emphasizing that “gamers shouldn’t need to rely on a calculator anytime they want to make an informed decision on how much they want to spend.”
As the virtual gaming world continues to grow, it is crucial for regulators to ensure that it adheres to real-world rules and protects consumers, especially children, from manipulative practices. The outcome of this complaint will likely shape the future of the videogame industry and its approach to in-game purchases and consumer protection.
