Joystiq http://www.joystiq.com Joystiq http://www.blogsmithmedia.com/http://www.joystiq.com/media/feedlogo.gif Joystiq http://www.joystiq.com en-us Copyright 2013 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Korean government raids Blizzard over Diablo 3 complaints]]>http://www.joystiq.com/2012/05/31/korean-government-raids-blizzard-over-diablo-3-complaints/http://www.joystiq.com/2012/05/31/korean-government-raids-blizzard-over-diablo-3-complaints/http://www.joystiq.com/2012/05/31/korean-government-raids-blizzard-over-diablo-3-complaints/#comments ImageThe Korean Federal Trade Commission raided Blizzard's Seoul office on Monday as part of an investigation into consumer claims that Blizzard has refused to refund Diablo 3 to eligible Korean players.

The FTC says it suspects Blizzard of violating Korean law on electronic commerce and commercial contracts, and it gathered documents and other evidence relevant to its investigation in the raid. Some Korean players were frustrated with Diablo 3's server issues at launch and asked for refunds, which Blizzard denied, citing its sales contract terms, The Korea Times reports. The FTC considers these terms to be disadvantageous to players.

"We have received many complaints from Diablo 3 users," FTC spokesman Kim Hyung-bae says.

Another angle the FTC is investigating is whether Blizzard should be held liable for its "ill-preparation" in regards to player traffic, The Korea Times says.

On that note, who has a raid tonight? Oh, the Korean government. Right.

JoystiqKorean government raids Blizzard over Diablo 3 complaints originally appeared on Joystiq on Thu, 31 May 2012 15:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>BlizzardDiablo-3ftcinvestigationKoreapcraidingThu, 31 May 2012 15:00:00 EST<![CDATA[Report: Game industry best at preventing sale of mature content to minors]]>http://www.joystiq.com/2011/04/21/report-game-industry-best-at-preventing-sale-of-mature-content/http://www.joystiq.com/2011/04/21/report-game-industry-best-at-preventing-sale-of-mature-content/http://www.joystiq.com/2011/04/21/report-game-industry-best-at-preventing-sale-of-mature-content/#comments The Federal Trade Commission recently conducted an annual undercover shopping survey and found that, of the various consumer entertainment industries, the video game industry was actually best at self-policing and keeping material intended for mature audiences away from children. Following a trend since 2000, the game industry scored very well with only 13 percent of underage shoppers able to buy M-rated games, down from 20 percent last year.

Of the various retailers in the survey, Walmart had the worst track record with 20 percent of sales allowed, while Target let only 8 percent of potential shoppers buy games they weren't supposed to. Outside of the game industry, the music industry was the least effective, with 64 percent of the FTC's shoppers able to buy music marked with a Parental Advisory Label.

The Entertainment Software Ratings Board responded to the survey through president Patricia Vance, saying it was happy with the results and that retailers have helped. "The strong support that the ESRB ratings have enjoyed from retailers is crucial, underscoring their firm commitment to selling video games responsibly," she said in a statement.

The FTC issues this report to Congress every year and says that, despite enforcement improvements across the board, "more needs to be done" to prevent the sale of mature content to young audiences.

JoystiqReport: Game industry best at preventing sale of mature content to minors originally appeared on Joystiq on Thu, 21 Apr 2011 01:15:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>entertainment-software-ratings-boardesrbftcm-ratedpatricia-vancesurveyviolent-video-gamesThu, 21 Apr 2011 01:15:00 EST<![CDATA[FTC commends ESRB and gaming industry for self-regulation practices]]>http://www.joystiq.com/2009/12/04/ftc-commends-esrb-and-gaming-industry-for-self-regulation-practi/http://www.joystiq.com/2009/12/04/ftc-commends-esrb-and-gaming-industry-for-self-regulation-practi/http://www.joystiq.com/2009/12/04/ftc-commends-esrb-and-gaming-industry-for-self-regulation-practi/#comments The Federal Trade Commission recently published a report which should simultaneously flatter the video game industry and stymie adversaries of the medium's terribly corruptive properties. In the report, the FTC says the gaming industry "outpaces" all other channels of entertainment in regards to its self-regulatory policies on marketing and advertising products which feature mature content.

The report praises the ESRB's ratings system, stating that 80 percent of M-rated games sales to minors are prevented by retailers. In addition, the report found that no ads for mature games were being run before 10 p.m., adding that the Commission found little evidence of M-rated game advertisements being targeted towards minors. The only exception? That episode of Hannah Montana where Hannah traveled back in time to 15th century Italy to become a professional assassin. Admittedly, that was kind of ethically dubious.

JoystiqFTC commends ESRB and gaming industry for self-regulation practices originally appeared on Joystiq on Fri, 04 Dec 2009 22:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>advertisingesrbFederal-Trade-CommissionftcmarketingmatureratingFri, 04 Dec 2009 22:30:00 EST<![CDATA[ECA creates Gamers for Digital Rights movement]]>http://www.joystiq.com/2009/10/02/eca-creates-gamers-for-digital-rights-movement/http://www.joystiq.com/2009/10/02/eca-creates-gamers-for-digital-rights-movement/http://www.joystiq.com/2009/10/02/eca-creates-gamers-for-digital-rights-movement/#comments When it comes to dealing with the politics of software piracy, most lobbying groups side with the creators of the content that's being buccaneered. While groups like the Entertainment Software Association are serving a just and noble cause, the Entertainment Consumers Association is worried that this one-sided representation could end up with non-pirates getting the royal shaft. To better voice our plight to agencies such as the Federal Trade Commission, the ECA recently formed an initiative called "Gamers for Digital Rights."

The GDR's mission is to "get the information out to consumers on the ins and outs of content protection," instructing its members on their rights in relation to restrictive DRM and unfair EULAs. Those interested in joining the group can sign up on the ECA's Facebook page. If you're hoping to get into the action right this second, ECA president Hal Halpin has penned a petition you can sign and send to the FTC, who's currently holding town hall meetings to discuss the future of DRM.

Or you can, you know, do none of that stuff. Just don't let us hear you complaining when the next Sporegate debacle starts up.

[Via Shacknews]

JoystiqECA creates Gamers for Digital Rights movement originally appeared on Joystiq on Fri, 02 Oct 2009 10:45:00 EST. Please see our terms for use of feeds.

Read | Read | Permalink | Email this | Comments]]>drmecaentertainment-consumers-associationeulaftcgamers-for-digital-rightspoliticsFri, 02 Oct 2009 10:45:00 EST<![CDATA[FTC investigating explicit content in virtual worlds]]>http://www.joystiq.com/2009/05/12/ftc-investigating-explicit-content-in-virtual-worlds/http://www.joystiq.com/2009/05/12/ftc-investigating-explicit-content-in-virtual-worlds/http://www.joystiq.com/2009/05/12/ftc-investigating-explicit-content-in-virtual-worlds/#comments
Online gaming news site Virtual Worlds recently had the opportunity to sit down with a couple of FTC attorneys who are currently investigating adult content in virtual worlds. The FTC is apparently working on a report for Congress (which is due in December), spawned by an inflammatory report on Second Life's "rape rooms" from Illinois' Rep. Mark Kirk. Thankfully, according to Virtual Worlds, the FTC is "on a fact-finding mission, not a witch hunt."

Coincidentally, this news comes on the heels of an announcement from Second Life's creators, Linden Lab. The virtual world will soon see a massive redistricting in order to separate the game's adult content from its all-ages content. To put it simply, Linden Lab will soon be creating an "adult content continent" that minors won't be able to access. May we suggest the name "Creepyvania" for this brave new landmass?

[Via GamePolitics]

JoystiqFTC investigating explicit content in virtual worlds originally appeared on Joystiq on Tue, 12 May 2009 03:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>adult-contentcongressftcmmoonlinepoliticssecond-lifeTue, 12 May 2009 03:00:00 EST<![CDATA[GameStop's employee checkout policy may be illegal [update]]]>http://www.joystiq.com/2009/04/10/gamestops-employee-checkout-policy-may-be-illegal/http://www.joystiq.com/2009/04/10/gamestops-employee-checkout-policy-may-be-illegal/http://www.joystiq.com/2009/04/10/gamestops-employee-checkout-policy-may-be-illegal/#comments[Update: We've received notes from a few GameStop employees telling us that their stores only allow the checking-out of used products. The company policy as reproduced in the Kotaku article does not specify that only used games can be checked out, so this seems to be a store-by-store decision.]

GameStop's practice of gutting new games and placing empty cases on the shelf has two side effects beyond prevention of theft: first, that a lot of customers are outraged when they receive an open box, and second, it allows employees to try out games without having to open a new copy expressly for that purpose, a practice that the company has allowed since before the store was called GameStop. We can personally attest to the policy being in place at Software Etc. stores in late 1998.

Kotaku contacted the Federal Trade Commission to determine if the policy of selling things as new that, in the strictest sense, were used, was unlawfully deceptive marketing. The FTC declined to comment about the practice or even if it is conducting an investigation.

JoystiqGameStop's employee checkout policy may be illegal [update] originally appeared on Joystiq on Fri, 10 Apr 2009 11:11:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>ftcgamestopused-gamesFri, 10 Apr 2009 11:11:00 EST<![CDATA[LGJ: FTC could target EULAs]]>http://www.joystiq.com/2009/01/30/lgj-ftc-could-target-eulas/http://www.joystiq.com/2009/01/30/lgj-ftc-could-target-eulas/http://www.joystiq.com/2009/01/30/lgj-ftc-could-target-eulas/#commentsFiled under:

Each week Mark Methenitis contributes Law of the Game on Joystiq ("LGJ"), a column on legal issues as they relate to video games:


A few weeks back, I mentioned that the FTC was looking into regulating DRM. Well, in part on some discussions at the Game::Business::Law Conference, I have a sneaking suspicion that the FTC likely won't stop with DRM. In fact, I would be willing to guess that within the next few years, the often maligned End User License Agreement ("EULA") may fall into the realm of being regulated as further "consumer protection." Is it necessary? Well, that's a matter of opinion, really. The only certainty is that it will be able to bring in additional revenue for the government, which is certainly short on cash these days.

If the FTC opts to regulate EULAs, I see three probable scenarios to accomplish its goal. Before I get ahead of myself, I should describe what the theoretical goal of consumer protection is: to prevent companies from taking advantage of consumers. Generally, though, it isn't necessarily the average consumer who's seeing the greatest benefit from the regulations. Often it's the most uneducated consumer, which usually means the regulations tone things down to a level of near absurdity.

Continue reading LGJ: FTC could target EULAs

JoystiqLGJ: FTC could target EULAs originally appeared on Joystiq on Fri, 30 Jan 2009 23:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>consumer-protectionend-user-license-agreementeulaftclawlaw-of-the-gamelgjFri, 30 Jan 2009 23:00:00 EST<![CDATA[LGJ: Here comes the FTC]]>http://www.joystiq.com/2009/01/07/lgj-here-comes-the-ftc/http://www.joystiq.com/2009/01/07/lgj-here-comes-the-ftc/http://www.joystiq.com/2009/01/07/lgj-here-comes-the-ftc/#commentsFiled under:

Each week Mark Methenitis contributes Law of the Game on Joystiq ("LGJ"), a column on legal issues as they relate to video games:

GamePolitics is reporting that the Federal Trade Commission is ready to look into "consumer protection" related to digital rights management tools. To many people, this may seem like a great idea. In general, it's not. It would be nice to give consumers some protection from some of the most draconian or horribly flawed DRM systems that have been put into use. On the other hand, those of us who have been around the "government regulation" block know that these protections rarely solve the problem they set out to resolve, and in turn, generally put more hurdles in the way of those who want to get a product into the marketplace, which raises the cost of production and usually the consumer price, too.

Consumer protection regulations do just what they sound like: they protect consumers. There are hundreds of these regulations at both the state and federal level in the U.S., and most are targeted at an industry level. There are consumer protections related to everything from debt collecting to auto repair to purchasing a franchised business. Many of these laws were enacted in response to a perceived or actual abuse by producers toward consumers. So, the government set out to level the playing field and to give consumers a way to deal with their grievances. All in all, the intent was good.

Continue reading LGJ: Here comes the FTC

JoystiqLGJ: Here comes the FTC originally appeared on Joystiq on Wed, 07 Jan 2009 23:55:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>columnsftcgovernmentjoystiqfeatureslawlaw-of-the-gameWed, 07 Jan 2009 23:55:00 EST<![CDATA[FTC gives green-light for EA's Take-Two buyout]]>http://www.joystiq.com/2008/08/20/ftc-gives-green-light-for-eas-take-two-buyout/http://www.joystiq.com/2008/08/20/ftc-gives-green-light-for-eas-take-two-buyout/http://www.joystiq.com/2008/08/20/ftc-gives-green-light-for-eas-take-two-buyout/#commentsFiled under:


The Federal Trade Commission has stated that it will not oppose EA's pursuit of Take-Two Interactive. Following an investigation, the government agency concluded that no antitrust issue will occur, but left the door open to "take further action as the public interest may require."

This means all systems are go for EA and Take-Two to come to some sort of amicable agreement over how to bring the companies together. If that doesn't work, EA will probably just go back to throwing money on the table until Take-Two is ready admit she can't deny the sugar.

Source - Closing Letter to one EA attorney
Source - Closing Letter to one Take-Two attorney

[Via GamePolitics]

JoystiqFTC gives green-light for EA's Take-Two buyout originally appeared on Joystiq on Wed, 20 Aug 2008 14:45:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>breakingnewsbuyouteaElectronic-Artsfederal-trade-commissionftctake-twoWed, 20 Aug 2008 14:45:00 EST<![CDATA[Take-Two makes good with FTC]]>http://www.joystiq.com/2008/06/19/take-two-makes-good-with-ftc/http://www.joystiq.com/2008/06/19/take-two-makes-good-with-ftc/http://www.joystiq.com/2008/06/19/take-two-makes-good-with-ftc/#commentsFiled under:


Take-Two will cooperate with the FTC's probing of the company in regards to Electronic Arts' persistent courtship, according to the publisher's most recent SEC filing (via GameDaily). Last week a U.S. Court set a hearing for June 24 to determine whether or not they company was in compliance with the FTC. According to the latest filing, Take-Two's agreement alleviates the need for a court appearance.

While stating it intends to cooperate fully, Take-Two noted that it would "appropriately limit the scope of its production of information and witnesses ... [We are] pleased that a resolution has been reached that should substantially reduce the economic burden on the Company and focus the inquiry in a way that should minimize the distraction to the Company's employees."

JoystiqTake-Two makes good with FTC originally appeared on Joystiq on Thu, 19 Jun 2008 14:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>eaelectronic-artsftctake-twoThu, 19 Jun 2008 14:30:00 EST<![CDATA[EA extends Take-Two purchase offer deadline a third time]]>http://www.joystiq.com/2008/05/19/ea-extends-take-two-purchase-offer-deadline-a-third-time/http://www.joystiq.com/2008/05/19/ea-extends-take-two-purchase-offer-deadline-a-third-time/http://www.joystiq.com/2008/05/19/ea-extends-take-two-purchase-offer-deadline-a-third-time/#commentsFiled under:


Super mega-huge publisher EA has announced a third extension of its tender offer for all outstanding shares of common Take-Two stock, pushing the previous deadline, which quietly passed by last Friday without so much as a hello, to 11:59PM EST on June 16, 2008. EA notes that as of 5:00PM EST on May 16, 2008, "approximately 6,210,261 shares of Take-Two had been tendered in and not withdrawn from the tender offer." In Take-Two's response, the publisher noted that said shares amount to 8% of the total.

The reason given for the latest extension seems to have less to do with virtuous patience and more to do with those pesky US Federal Trade Commission guys snooping around. "Extending our offer will allow the FTC review process to continue," said Owen Mahoney, Senior Vice President of EA Corporate Development, who added that the $25.74-per-share offer remained unchanged. The FTC sent EA a second request for information regarding the proposed takeover back in April.

Take-Two's Chairman of the Board, Strauss Zelnick, reiterated that the offer was inadequate and continued to advise stockholders to hold on while buyout discussions with "interested parties" continue.

Read -- EA announcement
Read -- Take-Two's response

JoystiqEA extends Take-Two purchase offer deadline a third time originally appeared on Joystiq on Mon, 19 May 2008 09:25:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>AcquisitionEAEA-Take-TwoElectronic-ArtsFTCTake-TwoMon, 19 May 2008 09:25:00 EST<![CDATA[Kids finding it harder to buy M-rated games]]>http://www.joystiq.com/2008/05/09/kids-finding-it-harder-to-buy-m-rated-games/http://www.joystiq.com/2008/05/09/kids-finding-it-harder-to-buy-m-rated-games/http://www.joystiq.com/2008/05/09/kids-finding-it-harder-to-buy-m-rated-games/#commentsFiled under: ,

It's a sad day for those of us who think that a future world entirely populated by desensitized adults trained from birth to be killing machines would be totally sweet. A Federal Trade Commission "undercover shopper" study has found that retailers turned down kids trying to buy M-rated games 80 percent of the time, up 58 percent from the year prior and up from a surprising 16 percent in 2000.

Though the findings are impressive, we don't think retailers should spend too much energy patting themselves on the back. If we saw a 43-year-old FTC agent in a backwards cap and Stone Cold 3:16 T-shirt insisting his name was "Dakota," we probably wouldn't sell M-rated games to him either.

JoystiqKids finding it harder to buy M-rated games originally appeared on Joystiq on Fri, 09 May 2008 10:28:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>esrbftcratingsFri, 09 May 2008 10:28:00 EST<![CDATA[DS LCD screen makers investigated for price fixing]]>http://www.joystiq.com/2008/02/28/ds-lcd-screen-makers-investigated-for-price-fixing/http://www.joystiq.com/2008/02/28/ds-lcd-screen-makers-investigated-for-price-fixing/http://www.joystiq.com/2008/02/28/ds-lcd-screen-makers-investigated-for-price-fixing/#commentsFiled under: ,

When video game makers fix prices for consumers, it's considered the normal state of business. When LCD makers fix prices for game makers, they get raided by the Japanese Fair Trade Commission. So it goes.

AFP has the report on the investigation on screen-makers Sharp and Hitachi, which have long been suspected of organizing a bid-rigging cartel to limit price competition for portable screens. Between them, the two companies provide all the LCD screens used in the Nintendo DS, though Nintendo couldn't confirm that they were the ones that complained to the commission. No one else involved, included the commission itself, had much comment on the actual investigation, but if it bears any fruit you'll be sure to read about it here.


[Via Engadget]

JoystiqDS LCD screen makers investigated for price fixing originally appeared on Joystiq on Thu, 28 Feb 2008 16:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>DSFTCHitachiJapanLCDprice fixingprice-fixingPriceFixingSharpThu, 28 Feb 2008 16:45:00 EST<![CDATA[Jack Thompson files BioShock ad complaint with FTC]]>http://www.joystiq.com/2007/08/19/jack-thompson-files-bioshock-ad-complaint-with-ftc/http://www.joystiq.com/2007/08/19/jack-thompson-files-bioshock-ad-complaint-with-ftc/http://www.joystiq.com/2007/08/19/jack-thompson-files-bioshock-ad-complaint-with-ftc/#commentsFiled under: ,


Attorney Jack Thompson has sent a complaint letter to the Federal Trade Commission for BioShock advertisements aired during Friday night's WWE Smackdown. GamePolitics has the full complaint from Thompson, a portion of it states: "Take-Two... is aggressively marketing its newest Mature-rated video game to kids under 17 years of age... On this Friday's night's 8 pm Eastern time airing of WWE's wrestling program "Smackdown," there were repeated ads for Take-Two/Rockstar Game's Mature-rated, incredibly violent BioShock ... This rampant fraudulent trade practice is precisely what 'Big Tobacco' did with its 'Joe Camel' and other teen-targeting ads, while at the same time lying to Congress that it was not marketing its adult product to kids."

Hey, we had no idea Rockstar had anything to do with BioShock ... oh wait, that's right, they didn't. The FTC has already stated they think the industry is doing a relatively fine job handling itself; however, the FTC does say the movie and video game industry are both guilty of marketing R and M rated content during shows with inappropriate demographics. That's all good and fine of course, but we're just way too busy bathing in the irony of a FTC violence complaint being brought upon the airing of BioShock ads during an episode of WWE Smackdown.

Gallery: BioShock

JoystiqJack Thompson files BioShock ad complaint with FTC originally appeared on Joystiq on Sun, 19 Aug 2007 13:10:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>adbioshockftcjackthompsonsmackdownwweXbox-360Sun, 19 Aug 2007 13:10:00 EST<![CDATA[How did various media outlets report the FTC gaming report?]]>http://www.joystiq.com/2007/04/14/how-did-various-media-outlets-report-the-ftc-gaming-report/http://www.joystiq.com/2007/04/14/how-did-various-media-outlets-report-the-ftc-gaming-report/http://www.joystiq.com/2007/04/14/how-did-various-media-outlets-report-the-ftc-gaming-report/#commentsFiled under: ,

Here's some light weekend reading about politics, the media and gaming. Earlier this week the U.S. Federal Trade Commission released a report about the gaming industry. The real fun for industry folk was seeing how all the various media outlets would report the news and what their headlines would be. Below is the list, shamelessly ripped-off from Dennis McCauley over at GamePolitics, of various media outlets and their take on the report:
  • FTC says content curbs fall short - L.A. Times
  • Report says the young buy violent games and movies - NY Times
  • FTC: self-regulation of violent content working - Beta News
  • Children still see ads for violent content - Advertising Age
  • FTC scolds marketers about violent content - AdWeek
  • FTC: violence still marketed to youths - Hollywood Reporter
  • Report: Violence still aimed at kids - Variety
  • FTC violence marketing report show general compliance - Broadcasting & Cable
  • FTC Report: Violence Still a Problem in Marketing - TV Week
  • FTC: game industry self-policing improving - GameSpot
  • FTC: M-rated games still marketed to minors - Next Generation
  • FTC: games are better regulated than music, movies - Ars Technica
  • FTC report: mixed reviews on industry's ability to self-regulate - Joystiq
  • FTC: game industry stricter than movies, music - Kotaku
  • FTC report praises, spanks video game industry - GamePolitics
As McCauley asks in his headline accompanying the list above, "Were these media outlets reading the same report?" The various headlines make us think of the classic question: If a tree falls in the woods and nobody is around to see it, does it make a sound? Some say yes, some say no, some say it explodes into various pieces, some say the Earth Mother picked it back up, some say there is no tree. The various headlines and the stores with them is a good read on the diversity of voice in the media -- especially when it comes to gaming.

JoystiqHow did various media outlets report the FTC gaming report? originally appeared on Joystiq on Sat, 14 Apr 2007 12:55:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>advertising agears technicaftcgame politicsgame spotjoystiqkotakulat timesmedianew york timesnext generationreportsvarietySat, 14 Apr 2007 12:55:00 EST<![CDATA[FTC report: mixed reviews on industry's ability to self-regulate]]>http://www.joystiq.com/2007/04/12/ftc-report-mixed-reviews-on-industrys-ability-to-self-regulate/http://www.joystiq.com/2007/04/12/ftc-report-mixed-reviews-on-industrys-ability-to-self-regulate/http://www.joystiq.com/2007/04/12/ftc-report-mixed-reviews-on-industrys-ability-to-self-regulate/#commentsFiled under: , ,

The Federal Trade Commission in the U.S. has released a new report praising the games industry for making "significant progress" in decreasing both the sale of mature-rated games to minors and the advertising of mature titles alongside teen-marketed television shows, while criticizing them for failing to maintain similar marketing standards with internet advertising.

Other interesting statistics and observations:
  • In the five years between 2001 and 2006, sales of M-rated titles to minors have dropped 36% (from 78% to 42%). No other industry was reported to have such a significant decline and only the sale of R-rated movie ticket to minors is lower (39% in 2006, an increase of 3% over 2003).
  • Of the parents surveyed, 87% are aware of the ESRB, 70% utilize it and 75% of those familiar with the content descriptors use them.
  • Current ESRB regulations do not allow game publishers to advertise M-rated games on sites where 45% or more of the audience is under 17. The FTC report said that they are "not adequately enforcing even this limited standard." Our query, which is not adequately explained in the report's press release, is how the FTC is able to discern the demographic of a website (other than maybe content and grammar usage), and which is it following? Only MySpace and YouTube are specifically cited here. And, to be quite honest, if the FTC were able to effectively discern the demographics found on a site like YouTube, they could sell that data-mining algorithm and make quadrillions in profit.
The FTC report also chastises the ESRB for failing to put content descriptors on the front of the box. Said FTC Chairman Deborah Platt Majoras overall, "Self-regulation, long a critical underpinning of U.S. advertising, is weakened if industry markets products in ways inconsistent with their ratings and parental advisories ... This latest FTC report shows improvement, but also indicates that the entertainment industry has more work to do."

[Via Game Politics]

JoystiqFTC report: mixed reviews on industry's ability to self-regulate originally appeared on Joystiq on Thu, 12 Apr 2007 16:55:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>advertisingfederal trade commisionFederalTradeCommisionftcgame politicsGamePoliticsindustrymarketingpoliticssniper kittySniperKittyThu, 12 Apr 2007 16:55:00 EST<![CDATA[Learning from Sony's viral blog mistake]]>http://www.joystiq.com/2006/12/18/learning-from-sonys-viral-blog-mistake/http://www.joystiq.com/2006/12/18/learning-from-sonys-viral-blog-mistake/http://www.joystiq.com/2006/12/18/learning-from-sonys-viral-blog-mistake/#commentsFiled under:

"From this point forward, we will just stick to making cool products, and use this site to give you nothing but the facts on the PSP."

These were the last words of Sony's viral-blog-gone-bad. The site is now suspiciously empty, showing how empty that apology/promise really was. Advertising Age did an interesting write-up on the whole ordeal, making note that the FTC is now taking steps to ensure that companies disclose the true nature of any viral communications they produce. The article has four things to learn from Sony's mistakes, and I found the following to be most important: "The consumer is smarter than you think, alternative marketing tactics must be genuine, authentic and in today's world, transparent." As Penny Arcade smartly noted, "The reality is that no agency can create viral marketing, this is the sole domain of the consumer."

Sony has to stop thinking we're idiots, and start treating us as educated consumers that know what we want. The homebrew community is a testament to that statement. Sony: listen to the gamers, read some PSP Fanboy and Joystiq, and figure out what we want.

[Via AdJab]

JoystiqLearning from Sony's viral blog mistake originally appeared on Joystiq on Mon, 18 Dec 2006 19:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>adad ageAdAgeadvertising ageAdvertisingAgeblogftcmarketingpenny arcadePennyArcadesonyviralMon, 18 Dec 2006 19:30:00 EST<![CDATA[FTC: Viral ties must be disclosed]]>http://www.joystiq.com/2006/12/12/ftc-viral-ties-must-be-disclosed/http://www.joystiq.com/2006/12/12/ftc-viral-ties-must-be-disclosed/http://www.joystiq.com/2006/12/12/ftc-viral-ties-must-be-disclosed/#commentsFiled under: ,

The U.S. Federal Trade Commission yesterday said that companies must disclose ties in word-of-mouth marketing campaigns. These fake grass-roots efforts -- dubbed "astroturfing" by critics -- hire people to endorse products as themselves, rather than as company representatives.

The FTC didn't announce any specific action or fines against this type of misleading marketing, although it may investigate campaigns on a case-by-case basis. The Washington Post covers the story.

Gamers see these sorts of campaigns all the time, from fake commentors who are actually paid marketers to the recent fake-PSP-fan weblog. While this kind of hidden corporate sponsorship makes us distrustful, we think better of companies, like Ubisoft, that disclose ties to its affiliates like the Frag Dolls. We most like the Major Nelson-type relationships, where a weblog spokesperson and a company are obviously linked.

JoystiqFTC: Viral ties must be disclosed originally appeared on Joystiq on Tue, 12 Dec 2006 17:55:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>federal trade comissionFederalTradeComissionFrag DollsFragDollsFTCMajor NelsonMajorNelsonTue, 12 Dec 2006 17:55:00 EST