Apple, Google in Trouble for Advertising Games With In-App Purchases as Free

Advertisement
By Reuters | Updated: 6 July 2014 13:44 IST
U.S. tech giants Apple, Google and Amazon and French game developer Gameloft are under investigation in Italy for alleged unfair commercial practices, the country's antitrust and competition authority said.

The investigation will determine whether the four companies are misleading customers by advertising mobile game apps as free, when in fact purchases are required to continue playing beyond a certain point, the regulator said in a statement.

"Consumers could wrongly believe that the game is entirely free and, in any case, that they would know in advance the full costs of the game," the antitrust watchdog said.

"Moreover, insufficient information seems to be provided to consumers about the settings needed to stop or limit the purchases within the app."

Advertisement

Apple declined to comment while Gameloft said it was looking into the issue but had no other comment. Google and Amazon could not immediately be reached for a reaction.

A spokeswoman at the authority said the investigation would likely be concluded within seven to eight months. The maximum fine it could impose on each of the companies would be 5 million euros ($6.9 million), she added.

Advertisement

The investigation follows a similar move by the European Commission earlier this year which asked companies to revise their rules on apps that are advertised as free and can be downloaded at no cost, but which later require purchases that get charged to consumers' credit cards by default.

(Also see: Top EU official is no fan of 'freemium' model, in-app purchases)

According to the Commission, more than half of the mobile games available in the European Union are advertised as free downloads, and consumers, especially children, are not always aware of costs that can be incurred and are vulnerable to the misleading marketing.

Advertisement

© Thomson Reuters 2014

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Further reading: Amazon, Apple, Apps, Gameloft, Gaming, Google, Freemium
Advertisement

Related Stories

Popular Mobile Brands
  1. Top OTT Releases of the Week: Kantara Chapter 1, Lokah Chapter 1, Idli Kadai, and More
  2. OnePlus 15T Launch Timeline, Features Leaked; May Feature a 7,000mAh Battery
  3. Realme GT 8 Pro India Launch Date Leaked: Here's When It Might Arrive
  4. Apple CEO Confirms Partnership Plans for AI Services Beyond OpenAI
  5. Vivo X300 Could be Available in This India-Exclusive Colourway
  1. SpaceX Revises Artemis III Moon Mission with Simplified Starship Design
  2. Rare ‘Second-Generation’ Black Holes Detected, Proving Einstein Right Again
  3. Starlink Hiring for Payments, Tax and Accounting Roles in Bengaluru as Firm Prepares for Launch in India
  4. Google's 'Min Mode' for Always-on Display Mode Spotted in Development on Android 17: Report
  5. OpenAI Upgrades Sora App With Character Cameos, Video Stitching and Leaderboard
  6. Samsung's AI-Powered Priority Notifications Spotted in New One UI 8.5 Leak
  7. Samsung Galaxy S26 Series Could Feature Model Slimmer Than Galaxy S25 Edge With New Name
  8. iQOO 15 Colour Options Confirmed Ahead of November 26 India Launch: Here’s What We Know So Far
  9. Vivo X300 to Be Available in India-Exclusive Red Colourway, Tipster Claims
  10. OpenAI Introduces Aardvark, an Agentic Security Researcher That Can Find and Fix Vulnerabilities
Gadgets 360 is available in
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2025. All rights reserved.