Source: https://www.linkedin.com/feed/update/urn%3Ali%3Ashare%3A7010670883488882688
The New York Times: FTC’s Largest Settlement: Epic Games pays Federal Trade Commission $520 million to settle allegations that the “Fortnite” developer broke #children’s #privacy #protection #laws and #tricked #players into buying in-game items. The #settlement includes a record $275 million #fine related to #violations of the Children’s Online Privacy Protection Rule, with the #FTC alleging that #Epic collected data from “#Fortnite” players under age 13 without their parents’ consent. The #regulator said Epic also exposed young kids to #bullying, #threats and #harassment by switching on #voice and #text #chat in games by default.: https://lnkd.in/gjAC8NtV :
$245 million FTC settlement alleges Fortnite owner Epic Games used digital dark patterns to charge players for unwanted in-game purchases: #Metaverse #Games #Digital #Payments #COPPA: https://lnkd.in/gcmsVSK2
#Virtual #Merchandise #Sales #Regulations #Consent: How much money can a company take in by selling #virtual costumes, dance moves, and piñatas shaped like llamas? It won’t surprise Fortnite fans to hear that the answer is billions, especially when, as the FTC alleges, Epic used a host of digital design tricks – dark patterns – to charge consumers for virtual merchandise without their express informed consent. What’s more, the FTC says when people disputed unauthorized charges with their credit card company, Epic locked their accounts, depriving them of access to content they had already paid for. The proposed #FTC #consent #order is the agency’s largest administrative settlement to date. Continue reading for some insightful – and instructive – quotes from consumers and employees who didn’t hold back about their opinions of Epic’s tactics.
For the technological Rip Van Winkles among us, Fortnite is a hit #video #game with more than 400 million registered users, many of whom are kids. Although people can play the basic version for free, Epic charges for in-game purchases designed to #enhance #game play. The FTC alleges that with millions of consumers’ credit cards conveniently in hand, Epic failed to adequately explain its #billing practices to customers and designed its interface in ways that led to unauthorized charges. You’ll want to read the complaint for details, but here are a few of the dark patterns the company allegedly used.
According to the complaint, Epic set up its #payment #system so that it saved by default the credit card that was associated with the account. That meant that kids could buy V-Bucks – the #virtual #currency necessary to make in-game purchases – with the simple press of a button. No separate cardholder consent was required. And although the #currency was #imaginary, the #charges Epic packed on to Mom or Dad’s #creditcard were very #real.
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