Knowledge (XXG)

Microtransaction

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individually and directly instead of through a collective and randomized loot box, and 44% believe that if loot boxes were eliminated from their online games the games would actually be a lot better. Plus, 40% of the children who played a game with loot boxes in them paid for one, too. Overall, the report stated that of the children who were generally unhappy with the games they paid for or were gifted, 18% felt that way because certain features had to be bought after paying for the game already, effectively making is so they had to pay more than the normal, full-price of the game in order to play the full game. The game was simply just not worth paying for to 35% of the unsatisfied children and 18% of them also felt that in-game microtransactions were not worth paying for either. Ultimately, children feel that spending money on microtransactions has become the norm and an expectation when playing modern video games.
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used data that it analyzed through 90,000 apps that installed the company's software in order to roughly determine the amount of revenue generated by other popular apps. They discovered that free games represented 39% of the total revenue from January, and that the number jumped to 65% by June, helped in part by the fact that over 75% of the 100 top grossing apps are games. This makes free-to-play the single most dominant business model in the mobile apps industry. They also learned that the number of people that spend money on in-game items in free-to-play games ranges from 0.5% to 6%, depending on a game's quality and
130:", is sometimes used pejoratively to refer to games where purchasing items in-game can give a player an advantage over other players, particularly if the items cannot be obtained through free means. The objective with a free-to-play microtransaction model is to involve more players in the game by providing desirable items or features that players can purchase if they lack the skill or available time to earn these through regular game play. Also, presumably the game developer's marketing strategy is that in the long term, the revenue from a micro transaction system will outweigh the revenue from a one-time-purchase game. 791:, which promotes and protects children's rights, released a report describing the experiences, thoughts, and effects, positive and negative, of gaming on children ages 10–16. Within the report, some of the children directly stated to the interviewers that the microtransactions and loot boxes that they encounter and subsequently buy, are just like gambling. The report concludes that showing the odds and percentages of certain microtransactions to players does not go far enough and does not actually solve the problem. 984:
on microtransactions in various mobile games, usually as a result of them getting tricked by the game to pay for something in-game or just not understanding that real money was being taken out of their, or their parents', bank accounts when they bought items in-game. Spending such large amounts of money on microtransactions have devastated some families financially, including some who had to pay a bill full of microtransaction payments with college savings and even money in life savings accounts.
824:" market, force a decision from the player to keep playing or not via a limited time pop-up on the screen that tells them that if they pay a certain amount of money (usually about 99 cents or a dollar), they can keep playing where they left off. This is another type of microtransaction and it has become increasingly common in the mobile games sphere as of late. Another psychological aspect that is used to get players to continue playing and buying microtransactions is called 787:, released in September 2019, called for the banning or regulation of microtransactions and loot boxes to children as well as having the games industry to take up more responsibility with regards to protecting players from the harms of microtransactions that simulate gambling. Specifically, the committee's conclusion is that microtransactions should be classified as gambling in the UK and therefore subject to current gambling and age-restriction laws. In October 2019, the 939:, no one, friends nor random strangers, will want to play with them as the default skin is seen as a symbol of a player being bad at the game. The default skin is used as judgement and an insult against the player whose in-game avatar wears it, too. Players wearing default skins are considered 'financially poor' and very 'uncool' by their peers and the game's community, so children spend money on microtransactions in order to avoid having that 'tag' or target on them. 743:
Legislature. Two of those bills would make it so games containing loot boxes can not be sold to people under the age of 21, and the other two would force game publishers to put labels on the case of their games that have loot boxes in them, as well as make them be transparent about the item drop rates for the rewards in their game's loot boxes. However, all four bills failed to pass through the Hawaii State Legislature in March 2018. In May 2019, Republican Senator
828:. When a player continues to lose over and over again, they begin to crave the dopamine-filled, positive feelings that they feel when they win. As such, they become more inclined to spend money for items that will help them achieve that elusive win. Then when they do win, the player attributes their win with the item that they just bought, making it more likely that they will spend money whenever the player gets on a losing streak, and so the cycle continues on. 1021:, can be considered unethical. Companies can sell data about consumers, involving their spending, bank information, and preferences, to understand the consumer better overall, making business models for gaming companies safer and more profitable. With microtransactions under a negative spotlight from the gaming community, there may be displeasure from those who are aware that their data is being shared to make microtransactions possible. 141:. Items and features available by microtransaction can range from cosmetic (such as decorative character attire) to functional (such as weapons and items). Some games allow players to purchase items that can be acquired through normal means, but some games include items that can only be obtained through microtransaction. Some developers ensure that only cosmetic items are accessible this way to keep gameplay fair and stable. 706:
their games' loot boxes in accordance with governmental laws, or otherwise as a result of negative reactions, others, such as Electronic Arts, have contested that they do not constitute as gambling. However, EA eventually complied with the Belgian government's declaration and made it so players in Belgium can not purchase FIFA Points, the premium (obtained by buying it with real money) in-game currency used in
3569: 444:(2012) pioneered a new approach to implanting microtransactions into games. In conjunction with having virtual currency be used to purchase items, tools, furniture, and animals, These mobile games made it so users can purchase currency and then use that currency to reduce or eliminate the wait times attached to certain actions, like planting and growing carrots or collecting taxes from the townspeople. 498:, they define loot boxes as "... items in video games that may be bought for real-world money, but which provide players with a randomised reward of uncertain value." The widespread usage of loot boxes by game developers and publishers have garnered a great amount of criticism from gamers in the past decade. Game developing corporations, like Electronic Arts (EA) and 870:" that the player must pay for. A "battle pass" is a tiered system where the player buys the pass and must unlock the tiers on their own. By completing challenges and other missions, they earn in-game items like outfits, emotes (special animations used to taunt opponents, celebrate victories, dance, and show-off), and other cosmetics. It is about $ 9.50 (or 950 of 332:'s publication, in February 2006, for a nominal fee) nor were they entirely unexpected: Bethesda had previously announced their desire to support the Xbox release with downloadable Marketplace content, and other publishers had already begun to release similar packages for their games, at similar prices. A November 2005-release of a "Winter Warrior Pack" for 36: 1053:(2013) generating more revenue through them than retail sales by the end of 2017. This trend was consistent with many other popular games at the time, leading to the practice being widespread in the 2010s. In its 2021 fiscal year, Activision Blizzard earned $ 8.8 billion, with the majority of profit generated from microtransactions. 983:
The children apologized to their parents and explained that at the time they did not understand how much they were impacting the family's financial situation. There have been other situations where UK children spent £700 ($ 903.53), £1,000 ($ 1290.75), £2,000 ($ 2581.50), and even £3,160 ($ 4078.77)
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often set in. Friends pressuring the player to continue buying packs hoping that they will be able to see them get a rare item can cause the player to spend more than they may actually be able to. The pressure to spend money on in-game content also stems from children seeing their friends have these
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in the UK, they studied and gathered data directly from children between the ages of 10–16 years old about their experiences with online gaming and the microtransactions that the games that they play hold, as well as ask about how the microtransactions in these games have affected them (and/or their
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Instead, they suggest that certain new features to protect children should be implemented in all games featuring microtransactions, like showing the all-time spending on a child's in-game account and having limits on the amount someone can spend daily. Additionally, they push for game developers and
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which removed their gameplay-altering microtransactions in March 2018 (but kept cosmetic microtransactions) due to players calculating that it would take over 48 hours of playing to obtain Luke Skywalker and then complaining about this extreme threshold to unlock popular characters to EA, have been
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and profile themes continued to be a Marketplace success for Microsoft, the aforementioned in-game content remained sparse. Pete Hines asserted, "We were the first ones to do downloadable content like that – some people had done similar things, but no one had really done additions where you add new
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Microtransactions have become increasingly common in many types of video games. Smartphone, console, and PC games all have conformed to the use of microtransactions due to its high profitability. Many companies and games, especially smartphone games, have taken on a business model that offer their
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reported on July 7, 2011, that based on its research, the revenue from free-to-play games had overtaken revenue from premium games that earn revenue through traditional means in Apple's App Store, for the top 100 grossing games when comparing the results for the months of January and June 2011. It
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are another form of microtransactions. Through purchasing a loot box, the player acquires a seemingly random assortment of items. Loot boxes result in high revenues because instead of a one-time purchase for the desired item, users may have to buy multiple boxes. This method has also been called a
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The amount of money that children spend on microtransactions has continued to grow because the design of these online games, as well as other outside influences, have made spending money for in-game content an essential aspect of the game itself. In the UK, different cases of children unknowingly
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Games would have to remove their microtransactions in order for it to be sold in their country. If the game companies don't comply, then Belgium's government said that it will enact "a prison sentence of up to 5 years and a fine of up to 800,000 euros". While most game publishers agreed to modify
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is an example of a microtransaction model in which all purchases are solely cosmetic: players can choose to purchase "skins" (cosmetic changes to the way characters, weapons, and vehicles look) to show off to other players. However, a player can experience all the content of the game and be on an
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Children might want to fit-in by paying for microtransactions and loot boxes and obtaining very rare items in front of their friends, creating a lot of hype and excitement among them. This makes paying for microtransactions a very positive experience for them. However, when children buy items in
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The implementation of microtransactions and the subsequent backlash from gamers and the gaming media have caused governments from all around the world to look into these games and their microtransaction mechanics. In April 2018, the Netherlands and Belgium banned the sale of microtransactions in
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Some other statistics and thoughts regarding loot boxes specifically were also collected from the children. Out of the 60% of children that know about loot boxes, a majority (91%) stated that the online games they play contain loot boxes in them, 59% of them would rather pay for in-game content
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Alongside questioning the legality of the extensive use of microtransactions, some gamers have also questioned the morality and ethics of selling microtransactions, especially to children. Researchers have studied the natural psychology behind both the selling and purchase of microtransactions.
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A majority of the children surveyed feel that these kinds of microtransaction systems in their online games are complete rip-offs. 76% of them also believe that these online games purposely try to squeeze as much money as possible from them when they play the game. About half of the children
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and Sean Quinlan, during a news conference, explained how loot boxes and microtransactions prey on children and that they are working to introduce bills into their state's house and senate. A few months later, in February 2018, they successfully put four bills onto the floor of Hawaii State
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player pack for them. In the span of three weeks, the children kept spending money on packs, eventually spending £550 ($ 709.91) altogether, completely emptying their parents' bank account, but never receiving one of the best players in the game as well as the children's favorite player:
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in the study said that they spend anywhere from £10 ($ 12.91) a day to upwards of £300 ($ 387.23) in one year, sometimes even buying multiple player packs at one time. Some children have also stated that they have seen friends, their siblings, and acquaintances who have
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to them. Opening these random boxes without knowing what is inside, to them, is the same as opening a present. The excitement and suspense is amplified when the experience is felt alongside friends. In the UK Children's Commissioner's report, the children who played
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connection. Many online games targeting younger audiences may have the presence of microtransactions. The primary items bought by children in these games are largely cosmetic items, specifically "skins", which modify the appearance of the in-game player.
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even playing field without purchasing any microtransactions because no feature or gameplay-affecting piece of content is locked behind a payment. These games still occasionally take accusations of being "pay-to-win" as combat-focused video games, such as
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publishers to stop pressuring children to spend money on microtransactions in their games in order to progress through the game and for Parliament to change their current gambling laws to declare loot boxes as gambling and subject to gambling laws.
597:, in some cases they can be circumvented. In 2012, a server was created by a Russian developer, which provided falsified authentication for iOS in-app purchases. This allowed users to obtain features requiring a microtransaction without paying. 468:
in January 2010. In March 2014 EA marked the fifth anniversary of Ultimate Team and shared statistics showing the explosive growth in popularity of the game mode. By the late 2010s, Ultimate Team was generating billions of dollars every year.
991:'s study, children reported spending more and more money with each coming year, despite also feeling that because they are rewarded completely unknown items, they feel like they may be wasting money, too. One of the children that played 253:
uses three different kinds of currency: Credits (or coins), Duckets (which are earned through accomplishing specific achievements during gameplay), and Diamonds. Diamonds are only obtained through buying Credits with real-life money. In
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expressed that they need to spend money on the game in order for it to be fun to them; this is due to many of these games' features, which are modes that the children want to play and experience, being locked behind microtransaction
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spending money from their parents and their own in order to get what they want or need to progress through the game have surfaced. In one instance, the father of a family with four children all under 10 years old, bought an £8
486:, with constantly changing and updating content, became more prevalent in the video game market. These types of games heavily employ the use of the loot box microtransaction type. According to the September 2019 report by the 853:
study, in the United Kingdom, 97% of males and 90% of females aged 10–16 years old play video games. About 93% of people 10–16 years old in the United Kingdom have played video games, with many playing games that utilize an
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In the mid and late 2010s, people became increasingly aware of how microtransactions operate in games, and they have become much more critical of their usage. The commonly cited issues of microtransactions from gamers are:
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in which gamers can buy "packs" containing items such as players, stadiums and contract extensions with currency earned by playing the game or real world money. EA followed this success by introducing the game mode to
658:" (in order to advance past certain points, or to become the best in the game, it is virtually required to pay real money to receive in-game currency to purchase items or to pay for bigger and better items directly). 546:. Even though this means that a large number of people will never spend money in a game, it also means that the people that do spend money could amount to a sizeable number because the game was given away for free. 249:. Both free games allow users to customize the clothing and style of their characters; buy and collect furniture; and purchase special, "flashy" animations to show off to others using some type of virtual currency. 358:
reporter. "With more consoles on their way to retail, 80 games available by June, and new content and experiences coming to Xbox Live all the time, there has never been a better time to own an Xbox 360", announced
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s in-game virtual currency, V-Bucks), but the player can also pay about $ 28 (or 2,800 V-Bucks) instead to unlock the battle pass and they automatically complete the first 25 tiers (out of 100 tiers) of it.
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introduced a bill named "The Protecting Children from Abusive Games Act" to ban loot boxes and pay-to-win microtransactions in games played by minors, using similar conditions previously outlined in the
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horse armor became a model for many games that followed for implementing microtransactions in video games, and is considered the first primary example and often synonymous for microtransactions.
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both provide frameworks for initiating and processing transactions, and both take 30 percent of all revenue generated by microtransactions sold through in-app purchases in their respective
258:, the Linden Dollar (L$ ) is the virtual currency used to power the game's internal economy. L$ can be bought with real money through a marketplace developed by Linden Lab themselves, LindeX. 2675: 841:
parents) socially and financially. A growing number of parents of children aged 5 to 15 years old are now concerned that their children could be pressured to perform microtransactions online.
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Peer pressure is not the only way children's social gaming experiences are altered. As noted in both the Parent Zone report and the Children's Commissioner's assessment, children who play
502:, make billions of dollars through the purchase of their microtransactions. In FY2017, EA raked in around $ 1.68 billion and Activision Blizzard earned over $ 4 billion respectively. 935:, as in discrimination against people of different economic and social classes, exists among the players of the game. Some children fear that if they have the free 'default' skin in 1000:
spend all of their birthday money on in-game microtransactions, all while feeling like spending that money has not been a waste despite them not receiving any valuable items.
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special, rare items, and them wanting to have it themselves. Essentially, when everyone around them has it, they will want it too in order to feel like a part of the group.
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Data from a variety of sources show that microtransactions can vastly increase a companies' profits. Three free-to-play mobile games that made heavy use of the practice,
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that children consume outside of the game can also affect their social interactions and in-game spending. A popular mode of entertainment for children is watching
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During the past two decades, gaming has emerged as one of the top options children go to as a means of alleviating boredom. In an August 2019 report conducted by
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behaviours in people already suffering from gambling issues. Plus, they can make people overspend money on the game, whether or not they are able to do so.
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switching to a free-to-play model due to a high rate of piracy. While microtransactions are considered a more robust and difficult to circumnavigate than
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Notice of the National Press and Publication Administration on Further Strict Management and Effective Prevention of Minors' Addiction to Online Games
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determined to be "games of chance" by the Belgian government. As such, they are highly regulated by the Belgian government under their gambling laws.
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The United Kingdom has also been closely observing microtransactions, especially loot boxes, and their effects on children. A major report by the UK
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Consumer organizations have criticized that some video games do not describe adequately that these purchases are made with real currency rather than
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Stuart, Sam; Bedell, Geraldine; Malster, Tim; Shotbolt, Vicki; Shotbolt, Max; Linington, Sophie; Roberg, Torjus; Mahmood, Zain (August 29, 2019).
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game mode; unlike the children, the said content creators have the money to pay for the packs, due to YouTube being their major source of income.
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2.50 or £1.50; the corresponding PC release cost was US$ 1.99. Bethesda offered no rationale for the price discrepancy. These were not the first
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McCaffrey, Matthew (2019). "The Macro Problem of Microtransactions: The Self-Regulatory Challenges of Video Game Loot Boxes". Rochester, NY.
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In the United States, there have been some calls to introduce legislation to regulate microtransactions in video games, whether on mobile,
886:. As such, there is a large gap between the gaming experiences that non-paying players have and the experiences that paying players have. 152:. Microtransactions are most commonly provided through a custom store interface placed inside the app for which the items are being sold. 1803: 1047:, were all in the top five most profitable mobile games of 2016. Microtransactions are also used in larger budget games as well, such as 3532: 3356: 1721: 573:
speculated in June 2012 that within 5 to 10 years, all games will have transitioned to the microtransaction model. Tommy Palm of King (
182:(1990) was infamous for its use of microtransactions to purchase items in the game. It had shops where players would insert coins into 2439: 2379: 898:
For many children, the excitement that they feel when they open loot boxes, packs, and obtain items through microtransactions is very
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players in Belgium were disappointed because not being able to buy FIFA Points makes it harder for them to compete and succeed in the
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Loot box rewards are determined by random chance and percentages, plus they can directly influence gameplay via the items they bestow.
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developer Manveer Heir in a 2017 interview, microtransactions have become a factor in what types of games are planned for production.
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is a significant part of the psychology behind people buying microtransactions. Essentially, many games, especially in the realm of
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Electronic Arts removed the ability to buy single items, instead downloadable content is provided exclusively via expansion packs.
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s users. In September 2005, $ 3,596,674 worth of transactions were processed on the platform. Both games are still active today.
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feel that opening player packs are a game within the game. To them, opening packs creates variety because they can play some
435: 285: 2232: 2179: 1558: 53: 46: 354:. "Downloadable in-game content is a main focus of Microsoft's strategy heading into the next-gen console war", stated one 3463: 3215: 3201: 2624:"Senator Hawley to Introduce Legislation Banning Manipulative Video Game Features Aimed at Children | Senator Josh Hawley" 1682: 739: 3208: 3140: 1775: 3756: 2802: 2492: 1589: 1227: 2755: 1465: 3822: 3412: 3402: 2700: 550: 3827: 3794: 3522: 2949: 2161: 1437: 594: 3485: 3458: 3434: 3364: 3332: 3257: 3107: 1527: 430: 334: 1651: 399:. It allowed players to purchase points that can be spent on in-game items. The Store has also been a part of 328:-related Marketplace releases (the first was a series of dashboard themes and picture packs released prior to 3671: 3322: 2249: 2199:"EA 'pushing for more open-world games [because] you can monetise them better,' says ex-Bioware dev" 340: 3547: 3495: 3339: 3317: 1017:
The collection of this data on consumers, although technically legal in the United States, or outside the
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coupled with microtransactions may be used as a response to piracy. An example of this is the mobile game
570: 360: 222: 148:. There has been considerable discussion over microtransactions and their effects on children, as well as 2288: 2267:"Loot boxes: gambling in disguise? - A qualitative study on the motivations behind purchasing loot boxes" 276:
The content of the "Horse Armor" package was generally seen as meager, inspiring some to complain of its
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The reasons why people, especially children, continue to pay for microtransactions are embedded in human
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From around 2017, another major transition in how microtransactions are implemented in games occurred. "
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They sometimes cost too much money for what they are worth. For example, a bundle of 50 loot boxes in
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in particular has generated massive amounts of economic activity and profits for both Linden Lab and
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Notable examples of games that used this model in the early 2000s include the social networking site
2266: 3837: 3610: 3327: 3147: 1383:"The business of micro transactions: What is the players' motivation for purchasing virtual items?" 1382: 734:, or PC, and numerous attempts have been made recently to pass such legislation. In November 2017, 499: 2054:"Activision Blizzard made over $ 4 billion on microtransactions in 2017, over half of its revenue" 107:
games to provide a revenue source for the developers. While microtransactions are a staple of the
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was also priced at 200 Marketplace points, and similar content additions had been scheduled for
2978: 1404: 577:) expressed in 2014 his belief that all games will eventually be free-to-play. According to Ex- 272: 3574: 2343: 2339: 1863: 1748: 1500: 1358: 1348: 1324: 1118: 1089: 346: 191: 112: 2701:"Immersive and addictive technologies - Digital, Culture, Media and Sport - House of Commons" 2314:"Immersive and addictive technologies - Digital, Culture, Media and Sport - House of Commons" 2003:"Immersive and addictive technologies - Digital, Culture, Media and Sport - House of Commons" 1713: 1620: 1009:
games for free and then relying purely on the success of microtransactions to turn a profit.
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game mode and then open some packs when they get bored of playing normal football matches.
756:. The bill received some bi-partisan support in the form of two co-sponsors from Democrats 3721: 2364: 2219: 1752: 1504: 997: 812:
According to a post made by Gabe Duverge on the Touro University Worldwide (TUW) website,
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The horse armor content sold relatively poorly, ranking ninth out of ten in DLC sales for
194:. The microtransaction revenue model gained popularity in South Korea with the success of 183: 172:
Initially, microtransactions in games took the form of exchanging real-life money for the
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means that gamers are paying more money after already paying to experience the full game.
526:– which technically can give players an advantage by obscuring them to human opponents. 3263: 3229: 2107:"Looks like Call of Duty: Warzone's controversial Roze skin is finally properly nerfed" 1037: 1018: 813: 543: 440: 122:
Free-to-play games that include a microtransaction model are sometimes referred to as "
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games sold in their countries. The specific games Belgium looked closer at were EA's
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stuff to your existing game." There was no pressure from Microsoft to make the move.
173: 96: 2465: 3746: 3731: 3537: 3194: 3180: 1621:"Round Up: Oblivion Downloadable Content, ESRB Ratings Issues, Ubisoft COO Resigns" 1031: 977: 821: 662: 589: 584: 522:, offer skins that are inspired by real-world military equipment – often including 512: 199: 104: 100: 3056:"Activision Blizzard Reports Highest Microtransaction Revenue Ever - ExtremeTech" 1566: 17: 3799: 3761: 3726: 3446: 3173: 2803:
The Rip-Off Games: How the new business model of online gaming exploits children
1297: 1062: 1043: 867: 817: 761: 744: 245: 231: 2925: 2900: 1804:"The Harsh History Of Gaming Microtransactions: From Horse Armor to Loot Boxes" 3784: 3236: 3161: 2676:"Immersive and addictive technologies report published - News from Parliament" 943: 655: 605: 523: 477: 459: 407: 401: 395: 240: 210: 153: 145: 127: 108: 2519:"Battlefront 2 loot crates draw lawmakers' attention in US, Belgium (update)" 1140:"EA suspends in-game payments for new 'Star Wars: Battlefront II' video game" 3751: 1859:"Horse armor was mocked, but it launched a billion-dollar cosmetic industry" 1717: 1624: 1354: 765: 420: 351: 187: 161: 3076: 1831: 3640: 3779: 3741: 3736: 3562: 3478: 3344: 1836: 1808: 1686: 1655: 1593: 1531: 1469: 955: 932: 855: 748: 644: 617: 482: 415: 355: 204: 149: 138: 133: 123: 3473: 3222: 3031:"DLC and Microtransactions: New Study Shows How Gamers Feel About Them" 1562: 947: 883: 683: 578: 453: 306: 1293:"Nexon wins over Western developers by pitching gaming as an art form" 727:
games, showing just how "pay-to-win" they feel FIFA Ultimate Team is.
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developed by Valve. All of those game's microtransactions, except for
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How high is 'unbelievably high' piracy? Dead Trigger dev's not saying
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Randau, Denise; Nguyen, Anh; Mirgolozar, Adrian (December 7, 2018).
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videos of other people playing their favorite games. In the case of
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Jönköping University International Business School Bachelor Thesis
1952:"EA looks back on five years of the FIFA Ultimate Team juggernaut" 1111:"Video game monetization mechanisms in triple A (AAA) video games" 271: 195: 2756:"Ethical and Legal Dimensions of Microtransactions in Videogames" 2133:"Free-to-play Revenue Overtakes Premium Revenue in the App Store" 3167: 2440:"Electronic Arts Has a Microtransaction Problem It Can't Ignore" 2415:"Now Belgium declares loot boxes gambling and therefore illegal" 1978:"EA made $ 1.62bn from Ultimate Team in its last financial year" 1390:
Jönköping University International Business School Master Thesis
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Simulation & Gaming Through Times and Across Disciplines
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used in the game that the user was playing. The arcade game
293:. From April 2006 onwards, Bethesda began releasing small, 2954:"Why Mobile Games Are Shaking Up The Advertising Business" 549:
A later study found that over 92% of revenue generated on
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digital distribution platform, as well as console gaming.
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Apple's App Store: An economy for 1 percent of developers
2548:"Hawaii lawmakers introduce loot crate regulation bills" 2029:"EA earns $ 1.68 billion in microtransactions in FY2017" 3005:"Is Google Sharing Your Personal Data? Now You'll Know" 2380:"The Netherlands declares some loot boxes are gambling" 2180:"Microtransactions will be in every game, says EA exec" 1714:"Microsoft Confirms Xbox 360 Production Surge, Plans" 1381:
van Berlo, Kevin; Liblik, Karl-Chris (May 23, 2016).
316:
s steeds, was released on April 3, 2006, costing 200
1245:"Transaction Fees – Google Play for Developers Help" 3815: 3772: 3709: 3678: 3588: 3506: 3373: 3310: 3273: 3132: 2944: 2942: 2825:"Fortnite Chapter 2 battle pass skins and rewards" 2162:"Some Gamers Fear a Dystopian Free-to-Play Future" 111:market, they are also seen on PC software such as 1497:"Bethesda announces new premium Oblivion content" 1109:Ivanov, M.; Wittenzellner; Washboard, M. (2019). 670:Legislative efforts to regulate microtransactions 2901:"The kids emptied our bank account playing Fifa" 832:Ethics of selling microtransactions to children 2650:"US loot box bill receives bipartisan support" 2289:"Are Overwatch's loot boxes worth your money?" 723:and the EA-sponsored e-sports competition for 414:In the late 2000s and early 2010s, games like 301:, for the equivalent of between one and three 3656: 3092: 2156: 2154: 1117:. Warsaw: Kozminski University. p. 422. 557:in 2013 came from free-to-play games such as 8: 3597:Brown v. Entertainment Merchants Association 785:Digital, Culture, Media, and Sport Committee 1911:"The Sims™ 4 - Packs - An Official EA site" 1088:. Boca Raton, Fla.: CRC Press. p. 18. 496:Digital, Culture, Media and Sport Committee 305:. The first package, a set of horse armor ( 3663: 3649: 3641: 3510: 3099: 3085: 3077: 1683:"Marketplace hits 10 million transactions" 713:s "Ultimate Team" game mode. Professional 618:Loot box § Regulation and legislation 54:remove low-quality or irrelevant citations 2493:"Is It Too Expensive to Be Good at FIFA?" 1459: 1457: 1455: 235:(2001), developed by the Finnish company 72:Learn how and when to remove this message 2572:Brestovansky, Michael (March 24, 2018). 2081:"How to Acquire Fortnite Cosmetic Items" 1926:"FIFA 09 Ultimate Team DLC - first look" 754:Children's Online Privacy Protection Act 661:Microtransactions in games that are not 1774:McWhertor, Michael (January 30, 2009). 1476:from the original on September 10, 2015 1074: 2867: 2865: 2796: 2794: 2792: 2790: 2788: 2727: 2725: 2723: 2721: 2360: 2349: 1600:from the original on November 22, 2020 190:, health, weapons, special moves, and 103:. Microtransactions are often used in 2919: 2917: 2894: 2892: 2890: 2863: 2861: 2859: 2857: 2855: 2853: 2851: 2849: 2847: 2845: 2786: 2784: 2782: 2780: 2778: 2776: 2774: 2772: 2770: 2768: 2541: 2539: 2408: 2406: 2404: 2402: 2400: 2260: 2258: 2131:Valadares, Jeferson (July 11, 2011). 1590:"Oblivion content now on Marketplace" 1376: 1374: 7: 3604:Entertainment Software Ass'n v. Foti 2881:Children's Commissioner Publications 2872:Longfield, Anne (October 22, 2019). 2741:Children's Commissioner Publications 2732:Longfield, Anne (October 22, 2019). 2413:Yin-Poole, Wesley (April 25, 2018). 2378:Yin-Poole, Wesley (April 19, 2018). 1466:"Oblivion horse armor now available" 1291:Takahashi, Dean (November 1, 2015). 1197: 1195: 1193: 1191: 1189: 1187: 1185: 958:constantly open player packs in the 3533:Family Entertainment Protection Act 2823:Goslin, Austen (October 15, 2019). 2546:Good, Owen S. (February 13, 2018). 2517:Good, Owen S. (November 22, 2017). 2105:Yin-Poole, Wesley (June 22, 2021). 1802:Williams, Mike (October 11, 2017). 1693:from the original on April 29, 2015 1662:from the original on April 29, 2015 1538:from the original on March 28, 2020 1526:Sinclair, Brendan (April 7, 2006). 789:Children's Commissioner for England 2574:"'Loot box' bills fail to advance" 2197:Donnelly, Joe (October 23, 2017). 2027:Strickland, Derek (May 10, 2017). 1976:Yin-Poole, Wesley (May 27, 2021). 1724:from the original on June 11, 2007 1650:Surette, Tim (November 29, 2005). 1588:Surette, Tim (February 23, 2006). 1082:Chandler, Heather Maxwell (2020). 208:(1999), followed by games such as 179:Double Dragon 3: The Rosetta Stone 150:regulation and legislation efforts 25: 3289:California v. Activision Blizzard 3119:List of controversial video games 2926:"My son spent £3,160 in one game" 2287:Friedman, Daniel (May 26, 2016). 1830:Senior, Tom (December 24, 2019). 1712:Carless, Simon (March 21, 2006). 1631:from the original on June 9, 2007 1557:Klepek, Patrick (April 3, 2006). 95:where users can purchase in-game 2252:– Richard Stanton, April 3, 2014 1950:Sarkar, Samit (March 19, 2014). 1924:Thomas, Aaron (March 14, 2009). 1743:Gibson, Ellie (March 20, 2007). 1495:Loughrey, Paul (April 5, 2006). 1265:Derboo, Sam (November 4, 2016). 694:Counter-Strike: Global Offensive 297:from their website and over the 295:downloadable packages of content 34: 2924:Kleinman, Zoe (July 15, 2019). 1681:Surette, Tim (March 21, 2006). 1619:Dobson, Jason (April 3, 2006). 954:, children may watch a popular 393:introduced an online Store for 3543:Truth in Video Game Rating Act 2899:Kleinman, Zoe (July 9, 2019). 1652:"Kameo konkokts kool kostumes" 1559:"Oblivion 360 Downloads Begin" 1464:Surette, Tim (April 3, 2006). 1113:. In Wardaszko, Marcin (ed.). 289:was released in March 2006 by 286:The Elder Scrolls IV: Oblivion 1: 3202:Super Columbine Massacre RPG! 1528:"Next Oblivion add-on priced" 634:'s first-person shooter game 405:since the game's release. In 47:excessive number of citations 3833:IP protection of video games 3518:Intellectual property rights 1350:Video Games Around the World 650:Games with loot boxes, like 451:game mode was introduced in 1085:The Game Production Toolbox 243:'s 2003 virtual world game 3885: 3823:Advertising in video games 2950:Sivaramakrishnan, Kamakshi 2705:publications.parliament.uk 2318:publications.parliament.uk 2007:publications.parliament.uk 1267:"Double Dragon 3 (Arcade)" 1207:Touro University WorldWide 615: 3828:Digital rights management 3528:1993 U.S. Senate hearings 3523:Video Recordings Act 1984 3513: 3391:regionally censored games 3114: 1347:Wolf, Mark J. P. (2015). 1234:. Retrieved July 9, 2014. 595:digital rights management 569:Corporate Vice-President 27:Video game business model 3864:Video game controversies 3365:Corrupted Blood incident 3258:Digital Homicide Studios 3108:Video game controversies 2466:"FIFA Points in Belgium" 2135:. Flurry. Archived from 919:front of their friends, 699:Star Wars Battlefront II 678:Star Wars Battlefront II 612:Criticism and regulation 431:The Simpsons: Tapped Out 363:. Nonetheless, although 335:Kameo: Elements of Power 3672:Video game monetization 3323:Cheating in video games 2754:Khonych, Alena (2019). 2250:Selling candy to babies 989:Children's Commissioner 379:by 2009. Despite this, 341:Project Gotham Racing 3 3869:Video game terminology 3548:Video Game Decency Act 3340:Death of Brandon Crisp 3318:Blitzchung controversy 2359:Cite journal requires 367:games, picture packs, 281: 223:Dungeon Fighter Online 186:to purchase upgrades, 3408:Gender representation 3350:2017 Wichita swatting 2628:www.hawley.senate.gov 2578:Hawaii Tribune-Herald 1897:"Store - The Sims™ 3" 1507:on September 30, 2007 1409:MIT Technology Review 799:Psychology and ethics 616:Further information: 519:Call of Duty: Warzone 299:Xbox Live Marketplace 275: 202:games, starting with 3691:Downloadable content 3686:Digital distribution 3618:Epic Games v. Google 3360:match fixing scandal 3295:ABK Workers Alliance 3276:workplace misconduct 3244:Six Days in Fallujah 1440:on December 23, 2006 1430:"Oblivion Downloads" 643:They may facilitate 535:Mobile web analytics 3838:Video game industry 3611:Epic Games v. Apple 3311:Other controversies 3060:www.extremetech.com 3009:Wireless Design Mag 2874:"Gaming the system" 2734:"Gaming the system" 2470:Electronic Arts Inc 1867:. October 13, 2022. 1405:"Virtual Economics" 1271:Hardcore Gaming 101 1209:. February 25, 2016 505:The aforementioned 500:Activision Blizzard 3757:Subscription-based 3696:Games as a service 3625:Strickland v. Sony 3430:Simulator sickness 3124:Video game culture 2472:. January 29, 2019 2139:on August 10, 2011 2060:. February 9, 2018 1434:Bethesda Softworks 1169:www.gamesparks.com 1050:Grand Theft Auto V 973:FIFA Ultimate Team 758:Richard Blumenthal 720:FIFA Global Series 447:In March 2009 the 318:Marketplace points 291:Bethesda Softworks 282: 126:". Another term, " 3846: 3845: 3717:Advertising-based 3701:Microtransactions 3638: 3637: 3634: 3633: 3575:Video game piracy 3558:Microtransactions 2983:Superdataresearch 2654:GamesIndustry.biz 2446:. October 7, 2019 2168:. April 14, 2014. 2079:Loguidice, Bill. 1832:"Horse armor won" 1755:on March 28, 2007 1749:GamesIndustry.biz 1501:GamesIndustry.biz 1364:978-0-262-32849-4 1325:Nexon Corporation 1124:978-83-66502-01-7 1095:978-0-429-80178-5 931:, explained that 849:According to the 347:Perfect Dark Zero 192:player characters 137:form of underage 85:Microtransactions 82: 81: 74: 18:Microtransactions 16:(Redirected from 3876: 3679:General concepts 3665: 3658: 3651: 3642: 3511: 3216:Ethnic Cleansing 3148:Custer's Revenge 3101: 3094: 3087: 3078: 3071: 3070: 3068: 3066: 3052: 3046: 3045: 3043: 3041: 3026: 3020: 3019: 3017: 3015: 3003:Mooney, Janine. 3000: 2994: 2993: 2991: 2989: 2975: 2969: 2968: 2966: 2964: 2946: 2937: 2936: 2934: 2932: 2921: 2912: 2911: 2909: 2907: 2896: 2885: 2884: 2878: 2869: 2840: 2839: 2837: 2835: 2820: 2814: 2813: 2807: 2798: 2763: 2762: 2760: 2751: 2745: 2744: 2738: 2729: 2716: 2715: 2713: 2711: 2697: 2691: 2690: 2688: 2686: 2672: 2666: 2665: 2663: 2661: 2646: 2640: 2639: 2637: 2635: 2620: 2614: 2613: 2611: 2609: 2595: 2589: 2588: 2586: 2584: 2569: 2563: 2562: 2560: 2558: 2543: 2534: 2533: 2531: 2529: 2514: 2508: 2507: 2505: 2503: 2488: 2482: 2481: 2479: 2477: 2462: 2456: 2455: 2453: 2451: 2436: 2430: 2429: 2427: 2425: 2410: 2395: 2394: 2392: 2390: 2375: 2369: 2368: 2362: 2357: 2355: 2347: 2335: 2329: 2328: 2326: 2324: 2310: 2304: 2303: 2301: 2299: 2284: 2278: 2277: 2271: 2262: 2253: 2247: 2241: 2240: 2229: 2223: 2214: 2208: 2207:October 23, 2017 2206: 2194: 2188: 2187: 2176: 2170: 2169: 2158: 2149: 2148: 2146: 2144: 2128: 2122: 2121: 2119: 2117: 2102: 2096: 2095: 2093: 2091: 2076: 2070: 2069: 2067: 2065: 2050: 2044: 2043: 2041: 2039: 2024: 2018: 2017: 2015: 2013: 1999: 1993: 1992: 1990: 1988: 1973: 1967: 1966: 1964: 1962: 1947: 1941: 1940: 1938: 1936: 1921: 1915: 1914: 1907: 1901: 1900: 1893: 1887: 1886: 1885:. June 30, 2008. 1875: 1869: 1868: 1855: 1849: 1848: 1846: 1844: 1827: 1821: 1820: 1818: 1816: 1799: 1793: 1792: 1790: 1788: 1771: 1765: 1764: 1762: 1760: 1751:. Archived from 1740: 1734: 1733: 1731: 1729: 1709: 1703: 1702: 1700: 1698: 1678: 1672: 1671: 1669: 1667: 1647: 1641: 1640: 1638: 1636: 1616: 1610: 1609: 1607: 1605: 1585: 1579: 1578: 1576: 1574: 1565:. Archived from 1554: 1548: 1547: 1545: 1543: 1523: 1517: 1516: 1514: 1512: 1503:. Archived from 1492: 1486: 1485: 1483: 1481: 1461: 1450: 1449: 1447: 1445: 1436:. 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July 23, 2012 2220:Android Central 2215: 2211: 2196: 2195: 2191: 2178: 2177: 2173: 2160: 2159: 2152: 2142: 2140: 2130: 2129: 2125: 2115: 2113: 2104: 2103: 2099: 2089: 2087: 2078: 2077: 2073: 2063: 2061: 2052: 2051: 2047: 2037: 2035: 2026: 2025: 2021: 2011: 2009: 2001: 2000: 1996: 1986: 1984: 1975: 1974: 1970: 1960: 1958: 1949: 1948: 1944: 1934: 1932: 1923: 1922: 1918: 1913:. May 31, 2022. 1909: 1908: 1904: 1895: 1894: 1890: 1877: 1876: 1872: 1857: 1856: 1852: 1842: 1840: 1829: 1828: 1824: 1814: 1812: 1801: 1800: 1796: 1786: 1784: 1773: 1772: 1768: 1758: 1756: 1742: 1741: 1737: 1727: 1725: 1711: 1710: 1706: 1696: 1694: 1680: 1679: 1675: 1665: 1663: 1649: 1648: 1644: 1634: 1632: 1618: 1617: 1613: 1603: 1601: 1587: 1586: 1582: 1572: 1570: 1569:on May 22, 2011 1556: 1555: 1551: 1541: 1539: 1525: 1524: 1520: 1510: 1508: 1494: 1493: 1489: 1479: 1477: 1463: 1462: 1453: 1443: 1441: 1428: 1427: 1423: 1413: 1411: 1402: 1401: 1397: 1385: 1380: 1379: 1372: 1365: 1357:. p. 510. 1346: 1345: 1341: 1331: 1329: 1318: 1317: 1313: 1303: 1301: 1290: 1289: 1285: 1275: 1273: 1264: 1263: 1259: 1249: 1247: 1243: 1242: 1238: 1226: 1222: 1212: 1210: 1201: 1200: 1183: 1173: 1171: 1163: 1162: 1158: 1148: 1146: 1137: 1136: 1132: 1125: 1108: 1107: 1103: 1096: 1081: 1080: 1076: 1071: 1059: 1027: 1015: 1006: 968: 896: 874: 862:In the case of 847: 834: 810: 801: 710: 672: 620: 614: 567:Electronic Arts 532: 462:beginning with 426:Electronic Arts 391:Electronic Arts 383: 313: 266: 184:arcade machines 170: 78: 67: 61: 58: 51: 45:may contain an 39: 35: 28: 23: 22: 15: 12: 11: 5: 3882: 3880: 3872: 3871: 3866: 3861: 3851: 3850: 3844: 3843: 3841: 3840: 3835: 3830: 3825: 3819: 3817: 3816:Related topics 3813: 3812: 3810: 3809: 3807:Skin gambling‎ 3804: 3803: 3802: 3792: 3791: 3790: 3776: 3774: 3770: 3769: 3767: 3766: 3765: 3764: 3754: 3749: 3744: 3739: 3734: 3729: 3724: 3719: 3713: 3711: 3707: 3706: 3704: 3703: 3698: 3693: 3688: 3682: 3680: 3676: 3675: 3670: 3668: 3667: 3660: 3653: 3645: 3636: 3635: 3632: 3631: 3629: 3628: 3621: 3614: 3607: 3600: 3592: 3590: 3586: 3585: 3583: 3582: 3577: 3572: 3567: 3566: 3565: 3555: 3550: 3545: 3540: 3535: 3530: 3525: 3520: 3514: 3508: 3504: 3503: 3501: 3500: 3499: 3498: 3488: 3483: 3482: 3481: 3476: 3471: 3464:Sexual content 3461: 3456: 3455: 3454: 3444: 3439: 3438: 3437: 3432: 3427: 3417: 3416: 3415: 3405: 3400: 3395: 3394: 3393: 3388: 3377: 3375: 3374:Social aspects 3371: 3370: 3368: 3367: 3362: 3358:Counter-Strike 3354: 3353: 3352: 3342: 3337: 3336: 3335: 3330: 3320: 3314: 3312: 3308: 3307: 3305: 3304: 3299: 3298: 3297: 3285: 3283:Crunch culture 3279: 3277: 3274:Harassment and 3271: 3270: 3268: 3267: 3264:Active Shooter 3260: 3255: 3247: 3240: 3233: 3230:V-Tech Rampage 3226: 3219: 3212: 3205: 3198: 3191: 3184: 3177: 3170: 3165: 3158: 3151: 3144: 3136: 3134: 3130: 3129: 3127: 3126: 3121: 3115: 3112: 3111: 3106: 3104: 3103: 3096: 3089: 3081: 3073: 3072: 3047: 3021: 2995: 2970: 2938: 2913: 2886: 2841: 2815: 2764: 2746: 2717: 2692: 2667: 2656:. 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business model
virtual goods
micropayments
free-to-play
mobile app
Valve
Steam
freemium
pay-to-win
Loot boxes
gambling
psychology
regulation and legislation efforts
Apple
Google
app stores
virtual currency
Double Dragon 3: The Rosetta Stone
arcade machines
power-ups
player characters
Nexon
free-to-play
QuizQuiz
MapleStory
Mabinogi

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