AND new California law which will go into effect in 2025 and will effectively force digital storefronts to reveal that customers do not actually own their digital purchases, but simply license content.
Of course, we assume that most of our audience will already be aware of this, but it’s entirely possible that casual players won’t be knowledgeable about how digital storefronts work. Effective, then, as he reported The Verge (Thanks, Extension of time) digital storefronts will be prohibited from using the words “purchase, purchase, or any other term that a reasonable person would understand as granting an unlimited ownership interest in the digital asset or with the option of a time-limited lease.”
Unless, that is, they specifically disclose that users are licensing the content. This disclosure includes informing customers that licenses may be revoked at any time and that certain purchase restrictions may apply. Any violation of this law may result in false advertising penalties.
California Assemblywoman and bill author Jacqui Irwin said:
“As retailers continue to move away from selling physical media, the need to protect consumers when purchasing digital media becomes increasingly important. I thank the Governor for signing AB 2426, ensuring that false and misleading advertising by digital media sellers who falsely tell consumers that they own their purchases will become a thing of the past.“
Of course, publishers can still revoke access to content without issue if they want to, but this law at least ensures that users are aware of this possible outcome in advance. We can’t be sure if this law will affect other regions, but we suspect that companies like Nintendo, Sony and Microsoft will be forced to change the text on their storefronts, it will be done globally.
