Digital Purchase Platforms Confirm Rights Ownership

California's New Law Clarifies Digital Game Ownership

A new California law, AB 2426, mandates greater transparency from digital game stores like Steam and Epic regarding game ownership. Effective next year, these platforms must clearly state whether a purchase grants ownership or merely a license to use the game.

The law aims to combat misleading advertising of digital goods. It defines a "game" broadly, encompassing applications accessed on various devices, including add-ons and DLC. Stores must use clear and prominent language, such as larger or contrasting text, to inform consumers about the nature of their purchase.

Violation of the law carries potential civil penalties or misdemeanor charges. The law specifically prohibits advertising or selling digital products as offering "unrestricted ownership" unless this is demonstrably true. Terms like "buy" or "purchase" can only be used if the lack of unrestricted ownership is explicitly stated.

Assemblymember Jacqui Irwin highlighted the increasing importance of consumer protection in the digital marketplace, emphasizing the common misconception that digital purchases grant permanent ownership, similar to physical media. She stated that the law aims to correct this misunderstanding.

The law's impact on subscription services like Game Pass remains unclear, as does its application to offline game copies. This ambiguity follows recent controversies where companies like Ubisoft have removed games from players' access, citing licensing issues.

Ubisoft's director of subscriptions, Philippe Tremblay, previously suggested that gamers need to adapt to the concept of not "owning" games in the traditional sense, particularly with the rise of subscription models. However, this new legislation seeks to ensure consumers are fully aware of what they are purchasing before making a transaction.

This California law represents a significant step towards greater transparency and consumer protection in the digital gaming market. Its impact will be closely watched as it takes effect next year.