FTC brings a $520 million hammer down on Epic Games for Fortnite complaints

[silversurfer]

Content source

https://arstechnica.com/gaming/2022/12/epic-will-pay-520-million-to-settle-ftc-privacy-payment-complaints/

Epic Games will pay over half a billion dollars to settle two Federal Trade Commission complaints regarding the company's use of children's private information and its use of "dark patterns" to encourage accidental in-game purchases. The penalties—which the FTC says are some of the largest imposed in the organization's history—also come with imposed changes to the way Epic handles purchases and player interactions in its online games.

The FTC's first complaint [PDF] alleged that Fortnite "failed to comply with the COPPA (Children's Online Privacy Protection Act) Rule’s parental notice, consent, review, and deletion requirements." The alleged violations included turning voice and text chat features on by default for young players, as well as publicly broadcasting their account names in the game.

Epic has recently changed those policies, implementing default settings for players under 18 that limit chat, hide usernames, and allow joining of parties by "invite only." Epic also pointed to this month's rollout of "cabined accounts," which limits full access to online features for young children's accounts until they are verified by an adult.

In a separate complaint [PDF], the FTC said that Epic often charged Fortnite players for in-game items without their "express informed consent." The use of "design tricks known as 'dark patterns'" led to "millions of complaints" to Epic and disputes of unauthorized charges with credit card providers, according to the FTC.

FTC brings a $520 million hammer down on Epic Games for Fortnite complaints

Massive fines highlight stricter enforcement standards for children in online games.

arstechnica.com

 

[The_King]

Fortnite maker, Epic Games, has on Monday reached a settlement in court in an investigation by the US Federal Trade Commission (FTC), to pay a total of 520 million US Dollars in fines. This fine is because Epic deployed shady tactics of manipulating children into purchasing Fortnite V-bucks, skins, etc., without proper consent forms and purchase order confirmations. Even with millions of complaints from parents, Epic decided to proceed with its tactics and used dark patterns that deceived the original intent. Thus, the FTC has made a case that this violates the Children's Online Privacy Protection Act (COPPA) rule, and Epic Games will have to pay the fine.

Epic Games to Pay $520 Million for Using Deceptive Patterns on Children

Fortnite maker, Epic Games, has on Monday reached a settlement in court in an investigation by the US Federal Trade Commission (FTC), to pay a total of 520 million US Dollars in fines. This fine is because Epic deployed shady tactics of manipulating children into purchasing Fortnite V-bucks...

www.techpowerup.com

What is deceptive design?
Deceptive design patterns (also known as "dark patterns") are tricks used in websites and apps that make you do things that you didn't mean to, like buying or signing up for something. The purpose of this site is to spread awareness and to shame companies that use these patterns.

Deceptive Design - user interfaces crafted to trick you

Deceptive design patterns ("dark patterns") are tricks used in websites and apps that make you buy or sign up for things that you didn't mean to. The purpose of this site is to spread awareness and to shame companies that use them.

www.deceptive.design