Whereas the United States relied on public opinion to drive away video game developers loot boxes and gambling reward systems, the UK and parts of Europe continued to consider taking more direct steps towards regulation. Despite concluding that loot boxes are associated with “harms related to gambling, mental health, financial and gambling-related issues”, the UK has not taken any legal steps forward. His next step, it seems, is to pursue unlawful efforts to limit loot boxes.
In a statement released by UK Culture Secretary Nadine Dorries of the Department for Digital, Culture, Media and Sport, Dorries says the government wants to “prevent children from spending online without parental consent”. Additionally, she specifically says she’s referring to the behavior, “spurred by in-game purchases such as loot boxes.” But again, no direct action is being taken. Instead, says Dorries, “gaming companies and platforms need to do more to ensure controls and age restrictions are enforced.” In other words, Dorries is calling for self-regulation in the gaming industry.
To potentially help the industry move in the right direction, the Department for Digital, Culture, Media and Sport is planning to create a working group between regulatory bodies, platform holders and game developers. The hope is that this group will work together to set new standards within itself that limit children’s access to loot boxes. No specific policies or goals were mentioned as goals for this group. It is unclear whether there are any expectations.
Skepticism about the direction of the Department of Digital, Culture, Media and Sport is understandably high. The inability of the current UK government to pass legislation regulating loot boxes, despite recognizing their inherent harm, is a contradiction that some believe is selfish. In other words, the UK government can say it is taking the issue seriously, but it allows the industry to continue uninhibited.
Cynicism about the UK’s efforts is in part motivated by frustrations with self-regulation efforts in the US. The video game industry is self-regulating in the US with the ESRB serving as a non-governmental oversight body. The ESRB does not consider loot box games, despite research indicating otherwise. It was only under significant pressure that the ESRB introduced a warning label for paid loot boxes in 2020.
While efforts to regulate loot boxes in the UK and US have been thwarted, there are examples to the contrary. Both Belgium and the Netherlands consider loot boxes to be a form of illegal gambling, leading to games like Immortal Diablo not being released there. There are also increasing efforts in the European Union to regulate loot boxes in one way or another. Only time will tell how gambling-based game mechanics such as loot boxes are addressed around the world.
Source: VideogamesChronicle
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