EU cracking down on “misleading” free-to-play games and in-app purchases

The European Commission (EC) is scrutinising free-to-play games over the use of in-app purchases.

The EC plans to meet with app developers and platform holders, including Apple and Google, to discuss the issue following complaints from consumer groups from across Europe.

Yesterday, the  EC met with national enforcement authorities to discuss how to move forward with a more transparent industry.

Game companies will now be expected to commit to providing solutions “within a clear timeframe so as to ensure proper consumer protection for apps customers”.

Further discussions will look at the misleading use of the term “free” in gaming apps and may result in  developers and publishers being instructed to provide a contact email for any queries or complaints regarding their products.

The four most important issues to be raised during the meetings will be:

• Games advertised as “free” should not mislead consumers about the true costs involved;
• Games should not contain direct exhortations to children to buy items in a game or to persuade an adult to buy items for them;
• Consumers should be adequately informed about the payment arrangements and purchases should not be debited through default settings without consumers’ explicit consent;
• Traders should provide an email address so that consumers can contact them in case of queries or complaints.

The EU could follow up with enforcement action if the proposed principles or rules are not met.

“Europe’s app industry has enormous potential, both to generate jobs and growth, and to improve our daily lives through innovative technology,” said EU Justice Commissioner Viviane Reding.

“For the sector to deliver on its potential consumers must have confidence in new products. Misleading consumers is clearly the wrong business model and also goes against the spirit of EU rules on consumer protection. The European Commission will expect very concrete answers from the app industry to the concerns raised by citizens and national consumer organisations.”

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