Competition Management and Marketing research has focused on registering for online gaming services such as PlayStation Plus, Xbox Game Pass and Nintendo Switch Online, which are typically used to automatically update until users take steps to terminate their contract. After negotiations, the UK organization received a commitment from Sony Interactive Entertainment to put in place measures to protect customers who have not used their license for a long time but continue to pay. Effectively, PlayStation will contact these customers to remind them how to cancel their payment and stop accepting additional payments if these users continue to use the subscription.
Similarly Nintendo, which has agreed to change its trading practices so that automatic renewal is not a common option when signing up for a Nintendo Switch Online subscription. “As a result of our investigations, several changes have been made in this area to protect customers and address concerns about registration renewal. Today’s announcement concludes our investigations into the online video game segment.“, comments Michael Grenfell, executive director of law enforcement at ACM.
Note that Microsoft had already agreed to change its policy in this direction in early January. While Xbox Game Pass and Xbox Live Gold subscriptions have so far sold out with a direct renewal option, Microsoft has also accepted the changes, assuring users that the subscription will automatically renew. The manufacturer also agrees to contact existing customers who have not used the subscription for a long time but continue to pay.
