GAMES WARNING: Your PS4, Xbox and Switch games could be about to get A LOT more expensive (Pic: DS)
Video games may be about to get more expensive if new regulation and measures implemented by the United States FTC come into play regarding the sale and distribution of loot boxes comes into effect.
The United States Federal Trade Commission (FTC) announced it would begin investigating loot boxes this week, in the midst of growing concerns from players and government officials about the addictive nature of the boxes, and the apparent relationship they have with gambling addiction issues.
According to Polygon, Junior New Hampshire Senator Maggie Hassan spoke to various commissioners at the FTC during a Senate Commerce, Science and Transportation subcommittee specifically outlining her worries about loot boxes and other forms of interactive gambling.
Various European countries and the Australian Senate have already begun investigations into the boxes – but with the US FTC looking into it (possibly poised to regulate the industry externally), game developers could see one pretty substantial revenue stream cut off in the not too distant future.
The result? Well, games are getting more and more expensive to create, and without the massive amounts of money companies like Activision Blizzard, EA, Ubisoft and other publishers make from loot boxes, the price of entry – that you pay at the store – might have to go up to make up for the shortfall.
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"We discussed loot boxes, which allow in-game purchases with real currency for surprise winnings, and most of you agreed that this is an area that could use additional oversight by the FTC,” said Sen. Hassan.
"Loot boxes are now endemic in the video game industry and are present in everything from casual smartphone games to the newest high-budget video game releases.
"Loot boxes will represent a $50 billion industry by the year 2022 according to the latest research estimates. Children may be particularly susceptible to engaging with these in-game purchases which are often considered integral components of video games."
Without that $50 billion revenue stream coming in – or being severely disrupted via regulation and possibly taxation – game developers will likely have to find other ways to fund their projects. Upping the price per unit on game sales seems to be the most obvious option – at least in the short term.
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So what does that mean to you?
Basically, where we see games like Overwatch, Destiny 2, Rainbox Six Siege, Star Wars Battlefront II and more now retail for about £50 at launch – then see support coming in from in-app purchases after the launch window – we may see a higher initial price point, but free (or season-based) models come in later.
So, a realistic future in which the FTC regulates loot boxes could see RRP increase (let's say by £10, for the sake of argument), but see fairer loot box disclosure rates or longer-term, free content as a result.
It's a murky area – and one that doesn't look like it's going to be resolved any time soon, but we're going to be keeping a close eye on the United States FTC and their investigation – it could have a huge impact on how games are not just made, but also marketed and sold to people like you.
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