Steam, Epic Required to Admit You Don't \"Own\" Games on Their Platforms

California's New Law Clarifies Digital Game Ownership

A new California law, AB 2426, mandates greater transparency from digital game stores like Steam and Epic regarding game ownership. Taking effect next year, the law requires these platforms to clearly state whether a purchase grants ownership or merely a license to use the game.

The legislation aims to combat deceptive advertising practices surrounding digital goods. The law defines "game" broadly, encompassing applications accessible on various devices, including add-ons and DLC. Stores must use clear and conspicuous language, specifying the nature of the transaction, to inform consumers.

Failure to comply can result in civil penalties or misdemeanor charges. The law explicitly prohibits advertising digital products as offering "unrestricted ownership" unless this is genuinely the case. Terms like "buy" or "purchase" must be accompanied by clear explanations if they don't imply full ownership.

Assemblymember Jacqui Irwin highlighted the growing importance of consumer protection in the digital marketplace, emphasizing the common misconception that digital purchases equate to permanent ownership. She cited instances where companies have removed access to games, leaving consumers without recourse.

The law's impact on subscription services like Game Pass remains unclear, as does its application to offline game copies. The ambiguity surrounding these areas is noteworthy. A Ubisoft executive previously suggested a shift in consumer expectations towards accepting the "renting" model prevalent in subscription services.

This new law underscores a growing awareness of consumer rights in the digital gaming landscape, aiming to provide clarity and protection for players. The long-term effects and interpretations of this legislation will be closely watched.