The Competition and Market Authority’s investigation focused on subscriptions to online gaming services such as PlayStation Plus, Xbox Game Pass and Nintendo Switch Online, which by default are used to being renewed automatically until users take steps to end their contract. After discussions, the British organization obtained a commitment from Sony Interactive Entertainment to put in place measures to protect customers who have not used their subscription for a long time but who continue to pay. Effectively, PlayStation will be contacting these customers to remind them how to end their payments and will stop accepting further payments if these users continue not to use their subscriptions.
The same goes for Nintendo, which has agreed to change its business practices so that auto-renewal is no longer the default option when signing up for a Nintendo Switch Online subscription. “As a result of our investigations, a number of changes have been made in this area to protect customers and address concerns about auto-renewing subscriptions. Today’s announcement therefore concludes our investigations into the online video game sector.“, comments Michael Grenfell, executive director of law enforcement at the ACM.
Note that Microsoft had already agreed to change its practices in this direction as early as January. While Xbox Game Pass and Xbox Live Gold subscriptions also come with an auto-renewal option by default, Microsoft has conceded a few changes starting with making it more clear to users that the subscription auto-renews. The manufacturer has also agreed to contact existing customers who have not used their subscription for a long time but who continue to pay.