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EU Commission proposes Digital Fairness Act on dark patterns, loot boxes
The European Commission proposed a Digital Fairness Act that would restrict dark patterns, loot boxes for minors and hard-to-cancel subscriptions, with fines of up to 6% of annual revenue, Engadget reported.
- New headline Was: “Europe wants to ban 'dark patterns' in apps and loot boxes for minors - Engadget”
- Our desk filed its story
- New headline Was: “Europe wants to ban 'dark patterns' in apps and loot boxes for minors”
The European Commission has proposed a Digital Fairness Act aimed at online practices it says harm children and push consumers to spend more, including dark patterns and loot boxes, Engadget reported, citing a Commission news release1.
Engadget said the draft would allow fines of up to 6 percent of a company's annual revenue for non-compliance1.
The package, as described in that account, would ban dark patterns such as hard-to-cancel subscriptions, require clearer online pricing for cultural and sports events, and let consumers turn off design features the Commission calls addictive because they encourage excessive or compulsive spending1.
It would also restrict practices that encourage overspending by minors, including pay-to-win mechanics such as loot boxes and persistent prompts, Engadget said1.
EU justice chief Michael McGrath said in a statement quoted by Engadget, "We are not making it harder to do business, we are making it harder to do business unfairly"1.
The proposal would require influencers to be transparent about commercial content and would address personalized ads and prices that target minors, according to Engadget1.
The Commission separately proposed shifting some enforcement from member states toward a more centralized system, giving Brussels direct powers to investigate large-scale cases, speed coordination and act against non-EU companies, Engadget reported1.
Engadget framed that shift as possibly reducing a patchwork of national enforcement and as possibly moving power away from Ireland, where several large U.S. tech companies are based; it cited a Politico report on U.N. experts' concerns about Ireland's privacy regulator1.
Industry comments, the full legal text and a timeline for adoption were not in the Engadget report1.