Epic Games has been fined by the Netherlands authorities with a hefty sum of €1.1 million. Here's everything you need to know about this news.
Why Is Epic Games Fined
Epic Games, the developer of the well-known battle royale game Fortnite, has been in a hot seat recently. The developer has just been slapped with a large sum of €1.1 million fine for violating EU consumer laws. This is after the Netherlands Authority for Consumers and Markets (ACM) decided that Epic Games was pressuring young kids into making in-game purchases.
After a thorough investigation made by ACM, they found that Epic Games has failed to provide clear information regarding the nature of Fortnite's in-game purchases. According to ACM, this lack of transparency could result in underage gamers being pressured into making a purchase.
The authority imposed two separate fines with a total of €1.1 million. One fine, amounting to €562,500, is for the phrases in the game such as “Get it now” or “Buy now”. According to ACM, these advertisements are directly urging children to make in-game purchases and are “an illegal aggressive commercial practice under all circumstances”.
The second fine, also amounting to €562,500, was imposed over the “misleading” and “deceptive” countdown timers. Authorities find that these timers pressured children into making purchases quickly because they believed that the item would disappear should the clock hit zero. This belief, however, was not always the case.
ACM board member, Cateautje Hijmans van den Bergh stated:
“Children's vulnerabilities were exploited and they were thus pressured into making purchases. With this decision, we are sending a clear signal: children must be able to play online games without being put under undue pressure”.
Epic Games is ordered to comply with the order by June 10, 2024.
Epic Games Response
In an official statement released by Epic Games, they said that the “decision contained significant factual errors about how Fortnite and the Item Shop operate”. The developer also said that “ACM is mandating changes that would result in a poor experience for players”, and that they will be appealing this decision.
In response to this, the Fortnite Item Shop will be undergoing some changes. The changes include:
- The Item Shop timer will be removed and the player's local time will be displayed instead to indicate when the items will leave the Shop. This will be implemented worldwide.
- The item descriptions will include the item's rotation-out date.
- Players in the Netherlands will not be able to see and purchase items that are in the shop for less than 48 hours.
Epic Games also responded by adding tools for player control and safety. These tools include:
- Cabined Account – Players under 16 in the Netherlands will initially be a cabined account. This means that they will not be able to make real money purchases. They will also not be able access some features like voice or text chat until given parental or guardian consent.
- Parental Controls – This is designed to give the parents the ability to manage and monitor their children's gameplay experience and spending. Parents can set up a PIN that must be entered before their child can make any real money purchases.
- Daily spending limit – Fortnite has a global daily spending limit in place for players under 13 years old.
Additionally, Epic Games implemented protections against unwanted purchases. These protections include:
- Hold-to-purchase mechanic
- Instant purchase cancellations and self-service returns
- Explicit yes/no choice for saving payment information
Community Response
The Fortnite community has been buzzing since this news hit the internet. As expected, there is a mixed bag of reactions from the fans.
Epic Games hit with a fine from Dutch Authorities. Seems like this is why item shop timers are changing
byu/ConcernedYellingMan inFortNiteBR
Players from the Netherlands are expressing a sense of relief in response to the stricter regulations. They are also showing appreciation for the protection these regulations provide against fear-of-missing-out (FOMO) tactics.
Fans from other regions, on the other hand, are questioning the impact of this issue on the global game dynamics and economies.
With the imposition of this fine, the Fortnite community is quick to discuss Epic Games' history of controversial choices. The community is looking back at past complaints and issues, specifically focusing on how players are treated differently and the varying levels of accessibility to the game. This has been an ongoing point of disagreement and discussion within the community for a considerable period.
Overall, the Epic Games and Netherlands dispute marks another important moment in the gaming industry. The hefty fine serves as a clear reminder to game developers about the crucial need for transparency and consumer safeguarding in the gaming industry.
With the rising popularity of online gaming, companies must prioritize the welfare and financial safety of their younger players. The ACM's ruling strongly signals that such practices won't be accepted and that companies must be accountable for their conduct.
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