Fifteen EU-based regulators plus Washington State have made a joint declaration while Australian based study likens loot boxes to gambling, not baseball cards
Fifteen EU gambling regulators from the UK, Ireland, France, Austria, Poland, Latvia, the Czech Republic, Spain, the Isle of Man, Malta, Portugal, Jersey, Norway, and the Netherlands plus US representation from the Washington State Gambling
Regulator published the letter, noting their concerns with the business model.
In addition to the loot box problem, the letter addresses how it will take on websites that let players either gamble or sell in-game items like skins or weapons with real-world money.
One of the signatories, Neil McArthur, CEO of the UK Gambling Commission said:
We have joined forces to call on video games companies to address the clear public concern around the risks gambling and some video games can pose to children. We encourage video games companies to work with their gambling regulators and take
action now to address those concerns to make sure that consumers, and particularly children, are protected.
The letter speaks of the groups concerns but does not detail the direction sthat the group will take in reacting to the concerns.
According to VentureBeat, a study conducted by the Australian Parliament's Environment and Communications References Committee showed that there were links between loot box spending and problematic gambling. The population sample size was 7500
The more severe a gamers' problem gambling was, the more likely they were to spend large amounts of money on loot boxes. These results strongly support claims that loot boxes are psychologically akin to gambling, said the report, conducted by Dr.
David Zendle and Dr. Paul Cairns.
In a statement, the pair added loot boxes could potentially act as an introduction to gambling or take advantage of gambling disorders. They note that the industry tends to brush off loot boxes as similar to harmless products like baseball cards,
football/soccer stickers, and products along those lines.
In related news games maker EA could face legal issues for ignoring a ruling by the Belgian government to remove the Ultimate Team portion from FIFA 18.
The Polish government is demanding that ISPs snitch on their customers who attempt to access websites it deems illegal.
The government wants to make the restrictions stricter for unauthorised online gambling sites and will require local ISPs to inform it about citizens' attempts to access them. According to the Panoptykon Foundation, a digital rights watchdog, the
government will compile a central registry of unauthorized websites to monitor.
According to the digital rights body, the government seeks to introduce a chief snooper that would compel data from ISPs disclosing which citizens tried to access unauthorised websites. In addition, the ISPs would have to keep the smooping
requests secret from the customer.
Local organisations are unsurprisingly worried that the censorship's expansion could turn out to be the first of many steps in an online limitation escalation.
France's online gaming authority (ARJEL, Autorité de Régulation des Jeux En Ligne) has decided that loot boxes in premium-priced games are not gambling. It determined that loot boxes are not legally considered gambling, and therefore are
However, ARJEL will continue to monitor the matter and is also calling for more unilateral support from the European Union in order to achieve a sound consensus on whether or not to consider loot boxes gambling.
According to ARJEL, the fact that you can't readily cash out your rewards from loot boxes for real-world currency means that in the minds of regulators it's not quite gambling. For them, the only way it would be gambling is if players could
actually retrieve the money that they invested into the product.
However, ARJEL also believes that loot boxes do contain questionable psychological hooks that work very similar to slot machines and roulette wheels in terms of luring gamers into a feeling of needing to spend more money in order to acquire the
item they seek.