Epic Games Hit with €1.1M Fine for Unfair Commercial Practices in the Netherlands
-
Loading... - Dalia Taha
- 26 Jul 2024
- 63 Views
- 0 Like
- 0 Comment
Epic Games, the renowned creator of the popular game Fortnite, has been fined €1,125,000 by the Netherlands Authority for Consumer and Markets (ACM) for engaging in unfair commercial practices targeting players under the age of 18.
According to Gamesindustry.biz, the ACM investigation revealed that Epic Games exploited children's vulnerabilities through specific design choices in its item shop. These design choices included aggressive advertising phrases such as "get it now" or "buy now," which were deemed as pressuring young players into making purchases. The company received a fine of €562,500 for these practices.
The investigation also highlighted the use of countdown timers on ads for available items, which played on children's fear of missing out (FOMO). This tactic was seen as another form of aggressive commercial practice, leading to an additional fine of €562,500.
Epic Games has expressed disagreement with the ACM's decision, citing significant factual errors in the findings related to how Fortnite and the Item Shop operate. The company has stated its intention to appeal the decision.
Pending the appeal, Epic Games has announced that players in the Netherlands under the age of 18 will not be able to see or purchase items in the shop for less than 48 hours. The ACM set a deadline for Epic to address the violations, and the company has communicated its plans to implement changes in response to the ACM's findings.
The ACM emphasized the importance of protecting children from exploitative commercial practices. The authority stated, "Traders must take into account the fact that children are more vulnerable to certain commercial practices than regular consumers. Epic actually exploited these types of vulnerabilities. As such, it failed to observe the required care that can be reasonably expected from traders when dealing with children."
This fine and the subsequent changes required of Epic Games underscore the broader implications for the gaming industry regarding the ethical treatment of young players. It serves as a reminder for game developers and publishers to ensure that their monetization strategies are fair and transparent, especially when dealing with a younger audience.
The ACM's actions reflect a growing trend of regulatory oversight aimed at protecting consumers, particularly children, from predatory business practices. As the gaming industry continues to evolve, adherence to ethical standards and regulations will be crucial in maintaining consumer trust and avoiding legal repercussions.
Epic Games' fine by the Netherlands Authority for Consumer and Markets highlights the importance of ethical practices in the gaming industry, especially concerning younger players. As the company navigates the appeal process and implements the necessary changes, this case serves as a pivotal moment for the industry to reflect on and improve its approach to consumer protection.
