![]() ![]() The fines are more evidence of the FTC's growing attention toward the video game industry, which includes suing to block Microsoft's attempted acquisition of Activision Blizzard. Epic also listed what it says is an updated chargeback policy, self-service refunds, instant cancellations of cosmetic purchases, and "no paid random item loot boxes since 2019 and no gambling ever." We accepted this agreement because we want Epic to be at the forefront of consumer protection and provide the best experience for our players."Įpic went on to address the allegations point by point, saying that "all game developers should rethink steps they've taken to simplify payment flows" and noting that it implemented a high privacy default setting in September. The laws have not changed, but their application has evolved and long-standing industry practices are no longer enough. Statutes written decades ago don’t specify how gaming ecosystems should operate. The video game industry is a place of fast-moving innovation, where player expectations are high and new ideas are paramount. Epic must also delete personal information gathered from Fortnite users in violation of the COPPA rule, and to establish a "comprehensive privacy program."Įpic published a lengthy response of its own, saying in part, "No developer creates a game with the intention of ending up here. The FTC claims that Epic employees "urged" the company to change Fortnite's default settings to require users to opt in for voice chat, but that the company "resisted" turning the feature off even as children were "harassed, including sexually, while playing the game."Īs a result, Fortnite will be required to disable voice and text communications for children and teens under 13-years-old, or for parents to provide consent through the privacy setting. In addition to microtransactions, Fortnite's voice chat was in the FTC's crosshairs. ![]() ![]() On that front, the FTC says that Epic "ignored more than one million user complaints" over wrongful charges while "purposefully" obscuring cancel and refund features.Ģ0 Images Fortnite's voice chat settings are also in the crosshairs, Epic responds The FTC also says that account holders can be charged without authorization, and that children have racked up "hundreds of dollars" in charges before parents were aware of what was happening. These "dark patterns" include tricking players into making unintended in-game purchases through a "counterintuitive, inconsistent, and confusing button configuration," including being charged while waking up from sleep mode. "Protecting the public, and especially children, from online privacy invasions and dark patterns is a top priority for the Commission, and these enforcement actions make clear to businesses that the FTC is cracking down on these unlawful practices," said FTC chair Lina Khan. Epic will also have to pay $245 million in refunds to customers over its "dark patterns."Īccording to the FTC, Fortnite uses "privacy-invasive default settings" and "deceptive interfaces" that "tricked" players. One is a $275 million fine for violating the Children's Online Privacy Protection rule, which imposes limitations on websites and online services directed to children under 13-years-old. The fine stems from what the FTC calls two separate "record-breaking" settlements.
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