Fortnite’s immense profitability is undeniable, but certain practices have crossed the line, pressuring players into spending money. Consequently, the United States Federal Trade Commission (FTC) is issuing over $72 million in refunds to affected players nationwide. Eligible players will be notified in the coming weeks and can expect an average refund of around $114.
These refunds stem from accusations against Epic Games in 2022 for violating the Children’s Online Privacy Protection Act (COPPA) and deceiving players into making unintended purchases. The FTC stated that Epic Games employed “dark patterns” to trick players into buying items they didn’t want and allowed children to accrue unauthorized charges without parental consent. Epic Games ultimately agreed to a settlement exceeding $500 million to resolve these FTC complaints.
Fortnite is projected to generate over $5 billion in revenue by the end of 2024. One of its monetization tactics involves a FOMO (Fear of Missing Out) system for cosmetic items. An outfit might appear in the shop only once, creating a sense of urgency for players to purchase it immediately. While some skins may return later, it’s not guaranteed.
Fortnite Chapter 6 Battle Pass cover
Fortnite skins typically cost between 800 and 2,000 V-Bucks (the in-game currency). With an approximate exchange rate of $1 to 125 V-Bucks, a skin can cost between $6.40 and $16. The V-Bucks purchasing system further complicates matters. Players must buy V-Bucks in bundles, with the smallest option being 1,000 V-Bucks for $7.99 (previously stated as $9). To acquire a 2,000 V-Buck skin, players must either purchase two 1,000 V-Buck bundles or a larger bundle, often leading to leftover V-Bucks.
While this marketing strategy for in-game cosmetics is undeniably effective, it also possesses a predatory element, particularly impacting children. With Fortnite introducing more child-focused content, like the upcoming Brick Life expansion, children become even more susceptible to these practices. Implementing safeguards to protect young players is crucial.
In conclusion, the FTC’s $72 million refund serves as a significant response to Epic Games’ manipulative monetization tactics in Fortnite. While the game’s financial success is impressive, the use of “dark patterns” and FOMO tactics raises concerns about ethical game design and consumer protection, especially regarding young players. The settlement and subsequent refunds hopefully mark a turning point toward more responsible in-app purchase practices within the gaming industry.
