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British Lawmakers: "If a product looks like gambling and feels like gambling, it should be regulated"

A U.K. House of Lords empowered committee called for video games with loot crates (aka loot boxes) to be classified as games of chance and "immediately" brought under the country's stringent gambling regulations under the Gambling Act 2005. "If a product looks like gambling and feels like gambling, it should be regulated as gambling," the committee says in its report, cited by the BBC. "The government must act immediately to bring loot boxes within the remit of gambling legislation and regulation," stated one of its members.

The report has sparked a debate in the U.K. about whether the Gambling Act 2005 is up to the task when dealing with contemporary and new forms of gambling, especially one with potentially billions of Pounds in market size. Lord Michael Grade, chair of the committee, in an interview with the BBC highlighted how several other countries already identify loot crates as a form of gambling as "they can see the dangers" which is teaching "kids to gamble." He argued that the Gambling Act can regulate video game loot crates without needing any legislation in the way of amendments.

Overwatch, Star Wars Battlefront II Loot Crates Under Gambling Scrutiny

According to Belgium's VTM Nieuws, the Chancellor Commission from that country has opened an investigation into both Overwatch and Star Wars Battlefront II loot crates, so as to rule whether or not these constitute gambling. Loot boxes being compared to gambling isn't a new debate, but up until now, a clear ruling that characterizes loot crates as such still hasn't made its way onto the courts or commissions that have been looking into these issues. That loot crates and other microtransactions are resounding successes in ever increasing monetization of game experiences is no secret: Digital River has released a report that stated microtransactions and the whole "Games as a Service" model has tripled the industry's value.

EA has been receiving a lot of flak for the way they implemented their loot boxing mechanics in Star Wars Battlefront II, which has led to repeated cycles of posturing, bullying, and ultimately some small steps backward for the company, regarding its initial stance on Battlefront II's specific implementation. Already has the company decreased costs for unlocking characters in-game, though some are reporting that for players to unlock everything the $60 game supposedly offers, they'd have to play it for at least 4,528 hours - or pony-up $2,100 to unlock all the base content.
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May 6th, 2024 18:14 EDT change timezone

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