Italy investigates Activision Blizzard for pushing in-game purchases

Italy has launched two investigations into Microsoft’s Activision Blizzard, alleging the company has engaged in “misleading and aggressive” sales practices for its popular smartphone games Diablo Immortal and Call of Duty Mobile.

The country’s competition regulator, Autorita Garante della Concorrenza E Del Mercato (AGCM), said the investigations focus on the use of design elements to induce users, particularly children, into playing for long periods, and make in-game purchases by urging them to not miss out on rewards.

“These practices, together with strategies that make it difficult for users to understand the real value of the virtual currency used in the game and the sale of in-game currency in bundles, may influence players as consumers — including minors — leading them to spend significant amounts, sometimes exceeding what is necessary to progress in the game and without being fully aware of the expenditure involved,” the AGCM wrote in a statement.

The AGCM said the games are advertised as free-to-play but offer in-game purchases.

That isn’t particularly surprising, however, as, unlike full-priced games, free-to-play games have long relied on loot boxes and sales of in-game cosmetics for monetization. Diablo Immortal, for example, offers in-game cosmetics, as well as currency that allows players to accelerate their progression and gain items for crafting, for as much as $200.

Given the nature of the game, it’s not unusual for many users to repeatedly spend on such items in the course of play.

Both Diablo Immortal and Call of Duty Mobile have player bases in the hundreds of thousands.

The authority is also looking into the games’ parental control features, as the default settings lets minors make in-game purchases, play for long periods without restraints, and allow them to chat with others in-game. The AGCM also highlighted privacy concerns, as the games appear to lead users to select all consent options when signing up, and said it would look into the company’s consent process for harvesting and using personal data.

“In the Authority’s view, the company may be acting in breach of consumer protection rules and, in particular, the duty of professional diligence required in a sector that is particularly sensitive to the risks of gaming-related addiction,” the regulator said.

Activision Blizzard did not immediately respond to a request for comment.