European Consumer Organisation (BEUC) has filed a complaint with EU authorities, accusing leading video game companies of violating EU consumer protection laws.
The gaming companies behind popular games like Fortnite, EA Sports FC 24, Minecraft, and Clash of Clans are alleged to be using deceptive practices to maximize consumer spending, particularly through premium in-game currencies.
A BEUC statement indicated these currencies mislead players by obscuring the true cost of digital items, leading to overspending. The complaint highlights the lack of price transparency and the practice of bundling currency purchases, which forces consumers to buy more than they need.
BEUC has called on regulators to mandate that in-game purchases be displayed in real-world currency, such as Euros.
The organization also rejects claims by game developers that consumers prefer in-game currencies. Many players reportedly find the system confusing and would rather purchase items directly with real money.
BEUC criticized the unfair terms that often deny consumers their rights when using these premium currencies, a practice that disproportionately affects children. According to a report by Ipsos for Video Games Europe (formerly ISFE), children in Europe are spending an average of €395 per month on in-game purchases. Lack of financial literacy makes them especially vulnerable to manipulative tactics.
“The gaming world may be virtual, but the rules should not be. Premium in-game currencies are designed to trick consumers, particularly children, into overspending,” BEUC’s Director General Agustin Reyna said.
The complaint reflects concern over the rise of in-game purchases, which generated over €46 billion or $50 billion globally in 2020, representing about one-quarter of revenues in the video game market. Revenue from in-game purchases would also surpass the revenue of the cinema and music industries combined.
BEUC’s action urges regulators to enforce stricter consumer protection laws in the video game sector to prevent deceptive practices from proliferating.
This move could also have implications beyond the gaming industry, as similar concerns have been raised about virtual currencies on social media platforms and other digital marketplaces.
Major videogame companies, including Epic Games, Electronic Arts, and Roblox, have been hit with a formal consumer complaint by the European Consumer Organisation (BEUC) and 22 of its member groups across Europe.
The complaint, lodged on Thursday with the European Commission and the European Network of Consumer Authorities, accuses these firms of misleading gamers into spending money, with a particular concern for the vulnerability of children.
The complaint comes as concerns rise over gaming addiction, with some parents alleging that videogame makers intentionally design their products to encourage addictive behavior. Companies such as Microsoft’s Activision Blizzard, Mojang Studios, Supercell, and Ubisoft are also implicated.
BEUC Director General Agustin Reyna stated, “Even though the gaming world is virtual, it still needs to abide by real-world rules,” emphasizing that children are often tricked into spending money through premium in-game currencies, which obscure the real cost of digital items.
Baburajan Kizhakedath
