renew: Epic Games issued its own statement regarding the settlement with the FTC. It reads in part: “No developer creates a game to end here. The video game industry is a place of rapid innovation, player expectations are high, and new ideas are paramount. Regulations enacted decades ago have no specific Explain how the game ecosystem should work.”
“The laws haven’t changed, but their application has, and long-standing industry practice is no longer sufficient. We accepted this agreement because we want Epic to be at the forefront of consumer protection and provide our players with the best possible Great experience.” You can view the full statement on the Epic Games website.
Source article: The Federal Trade Commission has reached an agreement with Fortnite creator Epic Games over a deceptive interface that violated privacy and violated the Children’s Online Privacy Protection Act.
As a result of the allegations, Epic Games will pay a $275 million fine for violating COPPA rules, and another $245 million will be used to refund customers for what the FTC has outlined as “dark patterns and billing practices.”
Epic Games, which the FTC called a “first of its kind,” also needed to incorporate strong privacy defaults for children and teens. Just recently, Epic launched Cabinetd Accounts for those under 13, which limit multiplayer communication, in-game purchases, and the ability to install non-Epic games.
In September, Epic also implemented a high privacy default with Cabinetd Accounts, and Fortnite defaults to the highest privacy option for players under 18.
FTC Chairman Lina M. Khan said, “As described in our complaint, Epic used privacy-invasive default settings and a deceptive interface to deceive Fortnite users, including teens and children.”
Among other things, “this proposed order sends a message to all online providers that the collection of children’s personal information without parental consent will not be tolerated,” said Solicitor General Vanita Guppe said Vanita Gupta.
Fortnite, a free-to-play battle royale game, has often been criticized for its in-game purchases, with dozens of cosmetic items and emotes to buy and collect. Epic put children and teens at risk and unlawfully cost consumers millions of dollars through its privacy practices, the FTC said.
“Under the proposed order announced today, the company will be required to change its default settings, refund millions of dollars to consumers, and pay record-setting fines for its privacy violations,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection. “
