Valve, Epic Admit Users Don't Own Games

California's New Law Clarifies Digital Game Ownership

A new California law 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, AB 2426, aims to combat misleading advertising of digital goods, including video games and related applications. It defines a "game" broadly to encompass applications accessed on various devices. The law requires clear and conspicuous language – larger font, contrasting colors, or distinct symbols – to inform consumers about the nature of their purchase.

Violation of this law carries potential civil penalties or misdemeanor charges. The legislation explicitly prohibits advertising or selling digital products as offering "unrestricted ownership" unless that claim is fully accurate. The law emphasizes that unless a digital good is downloadable for offline access, the seller retains the right to revoke access.

The law further restricts the use of terms like "buy" or "purchase" unless consumers are explicitly informed that the transaction doesn't guarantee unrestricted access or ownership. Assemblymember Jacqui Irwin highlighted the increasing importance of consumer protection in the shift towards digital-only media.

Subscription services like Game Pass remain outside the scope of this law, leaving their implications unclear. Similarly, the law doesn't address offline game copies. This ambiguity follows recent controversies where companies removed games from players' access, citing licensing issues.

A Ubisoft executive previously suggested that players should accept the concept of not technically "owning" games, especially with the rise of subscription models. Assemblymember Irwin clarified that the law aims to ensure consumers understand the nature of their purchases, acknowledging the difference between a license and true ownership.