“Microsoft’s price increases and product degradation – combined with Microsoft’s reduced investments in output and product quality via employee layoffs – are the hallmarks of a firm exercising market power post-merger.” The commission also noted that “removing the most valuable games from Microsoft’s new service – combined with price increases for existing users, is exactly the sort of consumer harm from the merger the FTC has alleged.”

The recent Game Pass changes include phasing out the base Game Pass tier and introducing Xbox Game Pass Standard for $14.99. Though it features multiplayer support, it doesn’t feature day-one titles or exclusive discounts for subscribers. Game Pass Ultimate retains those benefits but now costs $19.99 monthly. Meanwhile, Xbox Game Pass Core costs $74.99 yearly, and PC Game Pass retails for $11.99.

Despite approaching the federal appeals court in December 2023 to undo the $68.7 billion acquisition, a decision has yet to be reached. Nevertheless, stay tuned for more updates in the meantime.

The FTC (The Federal Trade Commission), an independent agency of the United States government that governs over issues like consumer rights, have announced that they will hold a workshop on August 7^th at the Constitution Center in Washington, D.C., where the topic of discussion will be loot boxes and their effects on consumers. It will be open to the public and livestreamed. As of now there is no list of speakers, but the announcement does say that  they have invited “industry representatives, consumer advocates, trade associations, academics, and government officials.”

As far as what will be covered at the workshop, this list was given as follows:

• The in-game transaction landscape, including the origins and evolution of loot boxes and their role in game play and the digital marketplace;
• Research examining consumer behavior, including child and adolescent behavior, in the context of video games and digital transactions; and
• A discussion of consumer awareness and education about in-game digital transactions, including the mechanics, marketing, and financial commitments associated with loot boxes.

While the practice of randomized lootboxes has been common practice for years, particularly in the mobile game space, a controversy erupted around the release of EA and DICE’s Star Wars Battlefront 2 for its use of the monetization method in that game. The resulting controversy opened up a broad conversation about the practice, with many critics saying it exploits gambling addiction and that lootboxes should be labeled and treated as gambling, and be under the same federal regulations casinos and other gambling ventures are. Countries like Belgium have already been taking steps in the same direction.

However you happen to feel about the practice, you can make your voice heard by weighing in. The commission is taking online submissions about the issue up until October 11^th, 2019.

The Federal Trade Commission (FTC) had recently sent warnings related to warranty coverage to companies which manufacture consoles. Now Sony has announced some changes to their warranties for PS4, PS VR, PS Vita, and PS3 consoles in the US and Canada.

One of the changes has to do with using peripherals that are not produced and licensed by Sony Interactive Entertainment (SIE). Earlier, they had stated that the warranty doesn’t apply if such peripherals are used. Now they have clarified that the warranty doesn’t apply only if damage is caused by the use of such peripherals. The second change is that previously the warranty stated that it wouldn’t apply if “the warranty seal on the product has been altered or removed.” Now, they’ve clarified the warranty will not apply only if there is damage caused by opening the product or if damage is caused because of service performed by anyone other than an SIE representative.

Apart from this, the company also clarified their policy regarding shipping for in-warranty consoles “SIE added language that clarifies and confirms our longstanding practice of providing free return shipping for in-warranty consoles in the U.S. and Canada, and free return shipping for repaired (or factory-recertified) consoles to the customer. SIE long has provided this free, round-trip shipping, but its warranties didn’t specifically say so. Now they do.”

These new terms will effectively replace the old ones, and it’s likely that other console manufacturers such as Microsoft and Nintendo will also soon make changes to their warranties.

The inclusion of loot boxes in video games have been at the center of controversy for some time now, with Star Wars Battlefront II being one of the main reasons why the issue was brought to the forefront. While EA maintains that loot boxes are not a form of gambling, the issue is still under scrutiny in several areas. The US Senator Maggie Hassan is now asking the ESRB to take into consideration the inclusion of loot boxes when rating games.

The Senator has also reached out to the Federal Trade Commission to discuss this issue, asking if they believe “that children being addicted to gaming – and activities like loot boxes that might make them more susceptible to addiction – is a problem that merits attention?” We’ll have to wait and see if the FTC will consider the issue of loot boxes and four nominees have agreed to address the issue if it is confirmed to be a serious problem.

In her letter to the ESRB, the Senator stated, “The prevalence of in-game micro-transactions, often referred to as ‘loot boxes,’ raises several concerns surrounding the use of psychological principles and enticing mechanics that closely mirror those often found in casinos and games of chance. The potential for harm is real.” The ESRB has received her letter and has stated that they will look into the issue.

We’ll have to wait and see what the end result of this will be and how the FTC and the ESRB will respond to the issue of loot boxes in video games. Maybe we’ll see new bills being introduced, similar to what has happened in Hawaii and video game companies will have to be more careful about including invasive microtransactions in their games. What do you think about this issue? Let us know in the comments.

The PlayStation Vita is a great little handheld gaming system, it offers a selection of great games on the go plus access to many PlayStation Classics, I myself have played Castlevania many times on it. But beyond that, there isn’t much you can do with your Vita that’s practical.

Sony were brought to bear by the Federal Trade Commission over claims that they had knowingly misrepresented the Vita and exaggerated its capabilities in their advertising for the device which has been in constant competition with, and constantly losing to, Nintendo’s 3DS.

The Federal Trade Commission specifically took umbrage over the claims that players could pause any PS3 game and continue to play at any time they wanted on the Vita by way of Cross-Save, a feature that’s only supported by a select group of games. This was compounded by failure to mention that both a PS3 and Vita build of the game were required to use the function.

A Sony spokesperson said, “The advertising at issue in the FTC inquiry went to market more than two years ago at PS Vita’s launch in February 2012. Although we have a strong difference of opinion with the FTC as to the message that PS Vita purchasers took from that advertising, we decided to settle the FTC’s inquiry in order to focus on the PlayStation 4’s momentum into this holiday, where PlayStation Vita continues to play an important role.”

Sony has since settled the case with the settlement terms being that Sony will not make misleading claims in the future (presumably across the board) and will also refund anyone who purchased a Vita before June of 2012. The refund comes in the form of $25 or credit. Or a voucher worth $50 that is reserved for use on merchandise. If you’re eligible for this Sony will reach out to you.

[Source]