Game Ownership Debate: Steam, Epic Clarify "Non-Ownership" Policy

California's New Law Clarifies Digital Game Ownership

A new California law, AB 2426, mandates greater transparency from digital game stores like Steam and Epic regarding game ownership. Effective next year, these platforms must clearly state whether a purchase grants ownership or merely a license.

The law aims to combat misleading advertising of digital goods. It defines a "game" broadly, encompassing applications accessed via various devices, including add-ons and DLC. Stores must use conspicuous language – larger font, contrasting color, or distinct symbols – to inform consumers about the nature of their purchase.

Violation of the law can result in civil penalties or misdemeanor charges. The act explicitly prohibits advertising or selling digital products as offering "unrestricted ownership" unless this is genuinely the case. The law emphasizes the crucial need for consumers to understand that they may not own the digital good outright; the seller retains the right to revoke access at any time, unless the product is downloadable for offline use.

The law also restricts the use of terms like "buy" or "purchase" unless explicitly clarified that the transaction doesn't equate to unrestricted access or ownership. Assemblymember Jacqui Irwin highlighted the growing importance of consumer protection in the digital marketplace, emphasizing the common misconception that digital purchases grant permanent ownership.

However, the law's implications for subscription services like Game Pass remain unclear. It doesn't address subscription models or offline game copies. This ambiguity follows comments from a Ubisoft executive who suggested gamers should become accustomed to not technically "owning" games in the subscription era.

This new legislation underscores the need for greater clarity in the digital marketplace, ensuring consumers understand the terms of their purchases. While it addresses a significant concern regarding ownership of digital games, further clarification is needed for subscription-based services and offline access.