Gamers Take Valve to Court Over Price Controls in Steam Store
Jess CameronLast Updated: September 4th, 2024Case Overview: A class action lawsuit has been filed against Valve Corporation, alleging the company's anti-competitive practices inflate game prices on the Steam platform.
Consumers Affected: Gamers who purchased games on Steam.
Court: U.S. District Court for the Western District of Washington
Class Action Lawsuit Challenges Anti-Competitive Practices
Valve Corporation, the company behind the popular Steam online game store, is facing a class action lawsuit accusing it of driving up game prices through unfair practices.
Four gamers filed the lawsuit against Valve Corporation on Aug. 9 in a Seattle federal court, alleging violations of state and federal consumer laws.
The lawsuit claims Valve prevents publishers from offering lower prices on competing platforms, which leaves consumers paying inflated costs for games.
Gamers Accuse Valve Of Inflating Prices With Anti-Competitive Practices
The gamers allege that Valve's dominance in the digital gaming market has allowed the company to impose strict price controls on game developers, forcing them to match the higher prices found on Steam.
The lawsuit alleges this practice violates U.S. antitrust laws by stifling competition, as publishers are barred from providing discounts on other platforms.
“Valve is able to charge exorbitant fees and maintain market dominance not because it built a superior PC games store,” the lawsuit alleges.
“Far from it, Valve maintains market dominance by strangling competition with nakedly anticompetitive pricing restraints.”
Lawsuit Challenges Valve's 30% Commission On Game Sales
One of the key issues highlighted in the complaint is the 30% commission Valve takes from game sales on Steam. This fee, the lawsuit claims, has been passed on to consumers, leading to inflated prices for games and in-game content.
"Valve’s staggering profits have been generated at the expense of consumers, who are overcharged when they purchase games at inflated prices from Steam," the complaint states.
The plaintiffs are suing Valve for what they estimate to be "at least millions" of affected consumers. They are seeking certification of the class action, damages, fees, costs and a jury trial.
Valve Faces Mounting Legal Challenges Over Antitrust Concerns
This lawsuit adds to Valve's ongoing legal battles.
The company is already defending itself against a similar antitrust case filed in 2021 by a group of game publishers. Valve has denied any wrongdoing in that case.
In June, Valve Corporation was also sued for £656 million in the United Kingdom, with the company accused of using its market dominance to overcharge 14 million people.
Case Details
- Lawsuit: Elliott v. Valve Corp.
- Case Number: 2:24-cv-01218
- Court: U.S. District Court for the Western District of Washington
Plaintiffs' Attorneys
- Steve Berman, Xiaoyi Fan and Ben Harrington (Hagens Berman Sobol Shapiro)
- William Ward Bucher IV (Bucher Law)
Have you experienced high prices or lack of competition in the online game market? Share your thoughts and experiences in the comments below.
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