Dark Mode
More forecasts: Johannesburg 14 days weather
  • Sunday, 14 July 2024
Steam Deck Gaming Console

Valve Corporation, Owners of Steam, Sued For £656 Million For Allegedly Overcharging UK Gamers

Valve Corporation, the owner of the world's largest PC game distribution platform, Steam, is being sued for £656 million. 

 

The lawsuit, filed at the Competition Appeal Tribunal in London, accuses Valve of using its market dominance to overcharge 14 million UK gamers. Digital rights campaigner Vicki Shotbolt, who is leading the case, claims that Valve has been "rigging the market and taking advantage of UK gamers."

 

Valve accused of breaching UK competition law

The core of the accusation is that Valve imposes price parity obligations on game publishers, preventing them from selling their games at lower prices on other platforms. This, according to Shotbolt, allows Steam to charge an "excessive commission of up to 30%," resulting in higher costs for consumers. 

 

The claim suggests that Valve's practices have breached UK competition law for at least six years.

 

The legal action is a collective action claim, meaning Shotbolt is representing a larger group of affected gamers. "I am bringing the claim to stop this unlawful conduct and help people get back what they are owed," she said. 

 

The case is backed by the legal firm Milberg London LLP, which specialises in group action cases against large corporations.

 

Steam generated over $9 billion global revenue in 2023

Valve's Steam platform generated over $9 billion in global revenue in 2023, with 580 million games sold and 14,000 new games released according to VG Insights. Despite this success, the market remains highly concentrated, with the top 10 best selling games accounting for 61% of all sales. 

 

Milberg's Natasha Pearman emphasised the importance of competition law in protecting consumers, stating that collective actions provide a way to hold big companies accountable.

 

This lawsuit is part of a growing trend of collective action cases against major tech companies. Similar claims have been brought against Facebook, Google, and Sony, highlighting the increasing scrutiny of tech giants' market practices.

Comment / Reply From