Italian regulators have launched a probe into Activision Blizzard, the parent company of popular gaming franchises like Call of Duty and World of Warcraft, over allegations that its free-to-play titles, including Diablo Immortal and Call of Duty: Mobile, employ "misleading and aggressive" monetization practices.
According to the Italian Competition Authority (AGCM), these mobile games rely on deceptive user interface designs aimed at encouraging lengthy play sessions and prompting players to spend real money in-game. Players may receive push notifications urging them to purchase limited-time items or miss out on rewards, with reminders that can pop up during gameplay and outside of it.
Regulators are also scrutinizing parental control settings, which they claim are set too permissively, allowing children to make in-game purchases and play for extended periods without adult supervision. The watchdog will investigate potential breaches of consumer contractual rights and practices that could lead players to unknowingly surrender their rights, including the EU's 14-day right to withdraw from a contract.
The use of loot boxes and other in-game purchases has long been at the heart of free-to-play games' revenue streams. This can blur the line between natural progression and pay-to-win advantages, leading to concerns about fairness and exploitation. A recent example cited by regulators includes a player who reportedly shelled out $100,000 on Diablo Immortal alone, highlighting the risks associated with such monetization models.
The AGCM's investigations mark another major probe into Activision Blizzard's business practices in Europe, where regulators have expressed growing concern over the industry's use of aggressive and exploitative marketing tactics.
According to the Italian Competition Authority (AGCM), these mobile games rely on deceptive user interface designs aimed at encouraging lengthy play sessions and prompting players to spend real money in-game. Players may receive push notifications urging them to purchase limited-time items or miss out on rewards, with reminders that can pop up during gameplay and outside of it.
Regulators are also scrutinizing parental control settings, which they claim are set too permissively, allowing children to make in-game purchases and play for extended periods without adult supervision. The watchdog will investigate potential breaches of consumer contractual rights and practices that could lead players to unknowingly surrender their rights, including the EU's 14-day right to withdraw from a contract.
The use of loot boxes and other in-game purchases has long been at the heart of free-to-play games' revenue streams. This can blur the line between natural progression and pay-to-win advantages, leading to concerns about fairness and exploitation. A recent example cited by regulators includes a player who reportedly shelled out $100,000 on Diablo Immortal alone, highlighting the risks associated with such monetization models.
The AGCM's investigations mark another major probe into Activision Blizzard's business practices in Europe, where regulators have expressed growing concern over the industry's use of aggressive and exploitative marketing tactics.