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Some of the largest gaming companies, including Microsoft's Xbox, Sony's PlayStation, and Nintendo, are all under investigation by the competition and securities markets authorities. British government. An investigation is underway to determine whether their automatic renewal or renewal conditions are "unfair".
The AMC is interested in memberships of online gaming companies, such as Xbox Live. He is concerned about the automatic renewal terms, the cancellation and refund policies and the terms and conditions of these services. He claims to have "written to Nintendo Switch, PlayStation and Xbox to request information on their online gaming contracts to better understand their practices."
As part of its investigation, the CMA noted the three areas that interest it:
- are the terms of the contract unfair? – do companies' conditions give them considerable latitude to change the quality of the transaction, for example by reducing the number of games included or by increasing the price?
- is it easy to cancel or get a refund? – Are there any factors that make it difficult for people to cancel their contract or get their money back?
- to what extent is the process of self-renewal right? – are customers clearly informed that their membership will be renewed, is it regularly recalled that they are on a renewal contract before any other payments are made and the automatic renewal is defined as default option?
It is important to note that the AMC has not yet determined whether the companies targeted by the survey had violated the laws on consumption, but she wants to know if the largest online gaming companies provide equitable services to members.
You can read the full announcement of the CMA here.
Additional Reading: Microsoft, Nintendo, Playstation, Xbox, Xbox One
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