The FTC Says It Will Investigate Loot Boxes (kotaku.com)

The Federal Trade Commission this week agreed to investigate video game loot boxes, accepting an official request by Senator Maggie Hassan. In a Congressional oversight committee hearing yesterday, FTC chairman Joe Simons affirmed Sen. Hassan's request that loot boxes be investigated. From a report: During her turn to ask questions at the hearing, Hassan cited a recent report by Great Britain's Gambling Commission that found 31% of children in the country had at one point or another paid money to open a loot box, a well as moves by Belgium (which prompted Square Enix to pull three mobile games from the country), Japan, and other countries to limit how loot boxes can be used in games. "Given the seriousness of this issue, I think it is in fact time for the FTC to investigate these mechanisms to ensure that children are being adequately protected and to educate parents about potential addiction or other negative impacts of these games," Hassan said. "Would you commit to undertaking this project and keeping this committee informed about it?" In response, Simons said "yes," but declined to go into any more detail about the FTC's current position on loot boxes and whether they constitute a form of gambling. Despite vocal criticism from Hassan and a few others on the topic, regulators have not been jumping to get involved in the debate.

Comments

the app stores had the auto buy and game cash

[Joe_Dragon]

the app stores had the auto buy with card on file (needed even for free apps) and the game cash to make it look like it's not real cash.

Yep, because "Just Say No" worked so well

[rsilvergun]

I mean Drug war? What Drug war?

Loot boxes take advantage of well known defects in human thought and personality. They're very well known because they're the same defects that make gambling work. That's because loot boxes === gambling (using 3 equal signs to indicate exact match here).

Re:FTC is investigating Loot Boxes?

[Anonymous Coward]

Wow did you ever miss the point on this one. While I would never buy anything in a mobile game, what you are talking about is completely different. In your example you know exactly what you are getting before you make the purchase. Yes it has no value, but that is not the point, you are getting something that is definable; eg... jump 20 levels, 10 lollipop bombs, 3 extra lives, etc... With a loot box you are getting the chance at something of in game value.

You don't ban, you regulate

[rsilvergun]

the insurance industry, for example, is heavily regulated to ensure people get value out of it.

The reason the industry won't self-regulate is they know damn well that gambling mechanics with real money being exchanged means an AO rating.

As for preventing terrible life decisions, those people's decisions effect you too. The most obvious is you get worse games. The less obvious is that people turn to crime to feed their addictions. You don't live life in a vacuum. No man is an island. And you can't just put your fingers in your ears and chant "freedom" and make out alright.