ACCC sweep finds inadequate disclosure in iTunes and Google Play apps
The Australian Competition and Consumer Commission has undertaken a ‘sweep’ of 340 apps available via Google and Apple's app store, and found that it has highlighted the potential for misleading and deceptive conduct in the promotion of apps.
The sweep encompassed Google Play and Apple apps
It also found there was inadequate disclosure of key terms and conditions associated with using the apps.
The sweep found that many ‘free’ games that appeal to children do not come with adequate disclosures about costs associated with app-based games.
The ACCC said its sweep “highlights a need for guidance to the app industry to protect consumers,”
“Once you’re playing, many games make it clear that you can get ahead or avoid getting bogged down if you shell out for in-app purchases. Children exposed to this won’t always connect a tap on the screen in the heat of the action with spending their parents’ money in the real world,” ACCC Deputy Chair Delia Rickard said.
“While there are some optional tools available to parents to restrict purchases, the ACCC and consumer regulators across the globe are looking together at whether people really know what to expect before the game is downloaded.”
It said that many of the games reviewed by the ACCC did not provide access to the terms and conditions prior to downloading and playing the game, and therefore parents or children purchasing and using these games may not be aware of important information about games including the suitability of content, third party collection of personal information, and social sharing through app games.
The ACCC said it supported the objectives of proposed principles for the online and app-based game industry floated by the UK’s Office of Fair Trading, which include ensuring consumers are told upfront about any possible in-game costs or advertising
iPhone apps image via Shutterstock