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In-game app fees face OFT consumer protection crackdown In-game app fees face OFT consumer protection crackdown
(about 11 hours later)
A UK watchdog has threatened action against video game app-makers it finds to be in breach of consumer protection laws. A UK watchdog is threatening action against video game app-makers it finds in breach of consumer protection laws.
The Office of Fair Trading (OFT) is concerned about in-game charges, saying it had seen evidence of "potentially unfair and aggressive commercial practices" after studying 38 popular titles. It did not say which they were. The Office of Fair Trading (OFT) is concerned about in-game charges, saying it has seen evidence of "potentially unfair and aggressive commercial practices" after studying 38 popular titles. It has not said which they are.
Children might be particularly susceptible to such tactics, it warned. Children might be particularly susceptible to such tactics, it warns.
As a consequence it has proposed new guidelines for developers.As a consequence it has proposed new guidelines for developers.
These would apply to both apps and internet browser-based video games available via Facebook and elsewhere.These would apply to both apps and internet browser-based video games available via Facebook and elsewhere.
They include:They include:
The OFT said some of the worst examples it had seen involved games that led children through an adventure but then withheld a promised reward until they spent money, and instances where the title made the player feel bad by telling them a virtual animal was "ill" but could be made better if the gamer made a purchase.The OFT said some of the worst examples it had seen involved games that led children through an adventure but then withheld a promised reward until they spent money, and instances where the title made the player feel bad by telling them a virtual animal was "ill" but could be made better if the gamer made a purchase.
"I don't think children are always aware that when they click 'yes' it's spending money," Cavendish Elithorn, executive director at the OFT, told the BBC."I don't think children are always aware that when they click 'yes' it's spending money," Cavendish Elithorn, executive director at the OFT, told the BBC.
"Although parents can change their device settings to deal with some of that, many parents might not know, or it's only when they get the bill that they realise the setting was wrong."Although parents can change their device settings to deal with some of that, many parents might not know, or it's only when they get the bill that they realise the setting was wrong.
"So, part of what we're keen to do is support parents in having the right tools to be aware of what their children are doing online.""So, part of what we're keen to do is support parents in having the right tools to be aware of what their children are doing online."
He added that the OFT has the ability to take legal action against firms in the UK, and was working with partners in Europe, North America and Australia to try and get the same rules applied elsewhere.He added that the OFT has the ability to take legal action against firms in the UK, and was working with partners in Europe, North America and Australia to try and get the same rules applied elsewhere.
So-called freemium games - where the original download is given away free of charge, but the player is encouraged to buy add-on items or services - were pioneered in Asian markets as a way to combat piracy.So-called freemium games - where the original download is given away free of charge, but the player is encouraged to buy add-on items or services - were pioneered in Asian markets as a way to combat piracy.
They have since spread to the west with EA's Fifa 14, Disney's Where's My Water, King's Candy Crush Saga and Sega's Sonic Dash among popular titles to adopt the model.They have since spread to the west with EA's Fifa 14, Disney's Where's My Water, King's Candy Crush Saga and Sega's Sonic Dash among popular titles to adopt the model.
Video games trade body Tiga - which had advised the OFT on the issue - said it found the guidelines encouraging.Video games trade body Tiga - which had advised the OFT on the issue - said it found the guidelines encouraging.
"Tiga understands both the legislative responsibilities and concerns of the OFT, and the daily realities of making games in the UK today and around the world," said the organisation's chief executive Richard Wilson."Tiga understands both the legislative responsibilities and concerns of the OFT, and the daily realities of making games in the UK today and around the world," said the organisation's chief executive Richard Wilson.
"I'm pleased to say the OFT and UK games business is leading the way in addressing these issues and helping build a sustainable future for this high tech, highly skilled, global industry.""I'm pleased to say the OFT and UK games business is leading the way in addressing these issues and helping build a sustainable future for this high tech, highly skilled, global industry."
The Association for United Kingdom Interactive Entertainment (Ukie) said it was useful to have clarity about the OFT's interpretation of the law, but added a note of caution.The Association for United Kingdom Interactive Entertainment (Ukie) said it was useful to have clarity about the OFT's interpretation of the law, but added a note of caution.
"It is vital that any final guidelines, whilst primarily considering the best interests of children, do not inadvertently isolate UK consumers from accessing the games that they want to play, stifle the creativity of games developers or prevent the growth of the UK games industry," said chief executive Jo Twist."It is vital that any final guidelines, whilst primarily considering the best interests of children, do not inadvertently isolate UK consumers from accessing the games that they want to play, stifle the creativity of games developers or prevent the growth of the UK games industry," said chief executive Jo Twist.
"Consumers are now often able to download and play the latest games for free."Consumers are now often able to download and play the latest games for free.
"In-app purchasing is optional within many of these games and is a way for millions of players to access the extra content that they want.""In-app purchasing is optional within many of these games and is a way for millions of players to access the extra content that they want."
The OFT has invited interested parties to comment on its principles by 21 November.The OFT has invited interested parties to comment on its principles by 21 November.
It then intends to publish a final version of the guidelines by February and begin enforcement action in April.It then intends to publish a final version of the guidelines by February and begin enforcement action in April.