In a statement, Hawley said, "Social media and video games prey on user addiction, siphoning our kids’ attention from the real world and extracting profits from fostering compulsive habits. No matter this business model’s advantages to the tech industry, one thing is clear: There is no excuse for exploiting children through such practices."Analysts from Juniper Research recently released the growing industry of in-game purchases for loot boxes could be worth more than $50 billion by 2022, as reported by The Washington Post.
"When a game is designed for kids, game developers shouldn’t be allowed to monetize addiction. And when kids play games designed for adults, they should be walled off from compulsive microtransactions," Hawley said.
Part of the discussion with the legislation is around parents being unaware their kids are using their credit cards through mobile game, in-app purchases – since they are marketed as "free" games. Numerous complaints have been recorded at the Federal Trade Commission by parents in these situations, according to the report by The Washington Post.The Entertainment Software Association – a lobbying association for the video game industry – said to look toward countries such as Germany and Ireland who have, "determined that loot boxes do not constitute gambling."
Stanley Pierre-Louis, the association's acting president, said, "We look forward to sharing with the senator the tools and information the industry already provides that keeps the control of in-game spending in parents’ hands."
The controversy of loot boxes in games has been around for years, with even a spokesperson from the Electronic Software Rating Board (ESRB) located in the US, telling IGN in 2017 that they do not consider loot boxes in games a form of gambling.ESRB told IGN at the time that, "While there's an element of chance in these mechanics, the player is always guaranteed to receive in-game content (even if the player unfortunately receives something they don't want). We think of it as a similar principle to collectible card games: Sometimes you'll open a pack and get a brand new holographic card you've had your eye on for a while. But other times you'll end up with a pack of cards you already have."
Other countries, such as the Netherland and Belgium, have declared some loot boxes in games a method of gambling, and took steps to communicate with the publishers on removal of the loot boxes, otherwise legal enforcement would occur. The FTC also already announced they would be investigating the impact of loot boxes and in-game purchases in late 2018.
What are your thoughts on microtransactions in games? Does it make a difference if people are under the age of 18? Help us converse on the subject in the comments below. Have a tip for us? Want to discuss a possible story? Please send an email to newstips@ign.com.
Jessie Wade is a news writer for IGN. Chat with her on Twitter @jessieannwade and let her know your thoughts on this bill.
