Electronic Arts (EA) has been fined €10 million by an Austrian court for allowing illegal gambling in its popular FIFA Ultimate Team (FUT) game. The court ruled that the game’s loot boxes, which contain virtual player cards that can be purchased with real money, constitute a form of gambling. However, EA has dismissed the fine as immaterial, stating that it doesn’t expect the decision to have any significant impact on its financial results or operations. This ruling could have wider implications for the gaming industry as regulators around the world have been scrutinizing loot box mechanics in recent years..
Electronic Arts will not be contesting the $11.7k USD (€10.8k, £9.2k) fine it got hit with after an Austrian court ruled that FIFA’s loot boxes violate the nation’s gambling laws. In 2023, after covering all operating expenses, EA reported a net income of $802 million and total assets amounting to $13.4 billion.
Sony got wrangled into the affair back in March and was ordered to pay back affected players, as the loot boxes were purchased through the PlayStation Store (although it still has the opportunity to appeal).
A spokesperson for EA explained the reasoning to GameIndustry.biz, stating: “We disagree with the court’s decision and believe it got both the facts and law wrong in this case. While we’ve decided not to appeal this narrow decision, which has no broader legal impact beyond this individual claim, we are confident that our games do not constitute gambling and that we are in full compliance with local laws.”
In Austria, courts rule on individual cases, which then have no bearing on subsequent cases, and EA has previously won similar cases in the country.
Electronic Arts (EA) has decided not to contest the $11.7k fine it received from an Austrian court, which ruled that FIFA’s loot boxes violate gambling laws. EA reported a net income of $802 million and total assets of $13.4 billion in 2023. Sony was also ordered to pay back affected players in a similar case, but it has the option to appeal. EA disagreed with the court’s decision, stating that it believes its games do not constitute gambling and that it is in compliance with local laws. The court ruling only applies to individual cases in Austria.
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