Investigating Activision Blizzard's Monetization Practices in Italy

Italian Regulators Initiate Investigation

The Italian Competition Authority (AGCM) has opened two investigations into Activision Blizzard, the gaming studio now under Microsoft ownership. The investigations focus on the mobile games Diablo Immortal and Call of Duty: Mobile, which allegedly use "deceptive and aggressive" practices to encourage in-game purchases.

Questionable Monetization Practices

Regulators allege these games adopt a "deceptive user interface design". This design aims to prolong and increase gaming session frequency while bombarding players with reminders and opportunities to spend real money. In-game messages alert users to limited-time items available or rewards that shouldn't be missed, both during and outside of the game.

Concerns About Virtual Currency

The AGCM expressed concerns regarding virtual currency and game currency packs. These elements may obscure the real costs players face. Additionally, parental control settings are being evaluated, as the default settings allow in-game purchases and unlimited playtime.

Evaluation of Consumer Contract Rights

The investigation also seeks to identify possible violations of consumer contract rights, particularly practices that encourage players to unconsciously waive those rights, such as the EU's 14-day right of withdrawal.

Evolution of Free-to-Play Games

Free-to-play games traditionally rely on loot boxes and in-game purchases for monetization. Unlike fixed-price games like Diablo IV, these practices can blur the distinction between normal progression and "pay-to-win". A notable example is the report of a player who allegedly spent $100,000 on Diablo Immortal.

Final Considerations

The AGCM's investigation highlights the growing need for stricter regulations on the monetization of mobile games. The outcome could influence how companies structure their monetization practices in the future, especially regarding consumer protection.