Transparency and microtransactions: Diablo Immortal and Call of Duty Mobile under scrutiny by the Italian Competition Authority
The Italian Competition Authority has recently launched two proceedings (PS13020 and PS13039) against the video game publisher Activision Blizzard. The investigation focuses on information transparency, marketing methods and in-game purchases within its free-to-play titles (games that are free to access but built on integrated monetization mechanisms) Diablo Immortal and Call of Duty Mobile.
The Authority's investigations concern alleged unfair, misleading and aggressive commercial practices, as well as possible violations of consumers’ contractual rights in relation to the purchasing systems integrated into the two video games, in particular:
the use of dark patterns, i.e. game interface design strategies designed to encourage prolonged and repeated use of the product and to steer consumers towards accepting commercial offers without full and informed consideration;
the implementation of intermediate virtual currencies, which would make the real cost of digital content less apparent, separating the act of purchase from the awareness of spending real money, including through mechanisms such as bundles (packages of items that are more economical than purchasing them individually, often available for a limited time) and loot boxes (packages with random contents, revealed only after purchase);
the manner in which users, particularly minors, exercise their rights, given that the default settings of games would seem to favour less protective options, inducing users, from the moment they register their account, to consent to the processing of their personal data, including for commercial profiling purposes, in the belief that they are faced with mandatory choices;
the inadequacy of the information provided on the user's contractual rights, which appears to be designed to induce them to unknowingly waive those rights, with the risk, among other things, of having their gaming account blocked or lost by unilateral decision of the publisher, without adequate justification, assistance or the possibility of opposition, resulting in the loss of the money spent on the digital content purchased.
Such behaviours could constitute unfair and misleading commercial practices, especially considering the vulnerability of the recipients: unlike other products, video games are largely enjoyed by minors, a circumstance that requires professionals to exercise a higher level of diligence in providing information when dealing with individuals who are not fully aware of the related economic dynamics.
The intervention of the Authority is part of a broader policy aimed at strengthening the protection of video gamers’ rights and, in particular, at defining the limits of the lawfulness of so-called “microtransactions”: small purchases made with real money within applications or video games, aimed at obtaining virtual currency, aesthetic items (skins) or competitive advantages (pay-to-win).
These mechanisms, especially among younger age groups, can encourage compulsive purchasing behaviour, making it advisable to review the economic architecture of video games, which are increasingly exposed to the risk of becoming a trap for end users, with possible repercussions in terms of gaming addiction.