Monday, September 24, 2018

The lootbox drama

So, the international lootbox controversy continues.

If you're not in the know, a rising trend in recent years in the video game industry has been to sell players so called lootboxes. In benign situations, these boxes are awarded for free in-game, and only contain cosmetic items. No game changing content at all.
But, in many games, these boxes have essentially replaced progression. Instead of being given some kind of increase in ability or equipment designed to be fun and fair, you get boxes of random stuff. Stuff that are completely game changing if you are lucky. To make matters worse, unscrupulous developers and publishers also sell these boxes for real money. Not in-game money, but actual dollars and cents, giving players who are willing and able to wave their credit cards around an unbeatable advantage.
This is the short version, it goes much deeper, but for the purpose of this post, this is what you need to know.

Now, in the past year, governments and legislative bodies have noticed the fury of players sickened and outraged by these business practices. Especially when the words “Gambling” and “Children” started being bandied around.
The problem is that in many games you can win rare in-game items, items that can then be sold off to other players for real money, even up to thousands of dollars. Again, that's actual dollars and euros. And unless their parents are paying attention, children are doing this.

It began small, with Belgium. Belgium went to far as to deem these lootboxes as illegal gambling and banned them on penalty of heavy fines and potential jail time. The AAA game publishers recoiled in horror but complied. All except Electronic Arts (EA). They refused to give up their supreme cash-cow, FIFA 18 (with 19 on the way). EA claimed that they don't agree with the interpretation of the law, and kept on selling in-game stuff for real money. Belgium wasn't too happy and are now dragging EA kicking and screaming to court. If Belgium wins (and I hope they do), EA could be fined about $1.8 million or so, and someone could be going to prison. We'll see how that goes.

But our saga does not end there. My native country of Finland has also jumped into the fray. The Finnish police are now investigating if these lootboxes are breaking the law. In Finland you must have a license from the government to run anything even remotely gambling related. My information might be a little outdated, but at least it used to be that if your club or school wanted to run a lottery for whatever prizes you had, and the tickets cost real money, you had to get the approval of the police. So I can understand why the police are looking into this.

But wait, there's more.
A panel of experts in Australia has decided that this kind of system of lootboxes are absolutely gambling and now, 15 countries and the U.S. State of Washington are scrutinizing the disgusting little boxes. The countries are:

Austria
Czech Republic
France
Gibraltar
Ireland
Isle of Man
Jersey
Latvia
Malta
The Netherlands
Norway
Poland
Portugal
Spain
UK

If even a few of the bigger countries come down against lootboxes with the same kind of penalties as Belgium, then the AAA publishers are screwed. Their golden geese are slaughtered and it's all their own faults. The standard excuse is that it's too expensive to make games these days, but many many developers are managing it just fine without predatory micro-transactions. Imagine if the car industry did the same. You buy a car, but there are no seats and the roof is a net. All because it's too expensive to make cars. Yeah right.

As the drama unfolds, I'll be talking about it here. And until next time, have a great week!

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