Ever wondered why a game can cost half the price of in some countries and why VPN purchases and activations have become so popular? Well, the European Commission decided to fine Valve, Bandai Namco, Capcom, Focus Home Interactive, Koch Media and ZeniMax for a combined total of € 7.8 million.
The understanding for the financial punishment is that these companies sold games at a lower price in Eastern European countries and that these were exclusive to those regions and could not be activated in Western Europe. This "Geo-Blocking" of PC games is prohibited in the European Union, so the Commission decided to fine all companies that violated antitrust rules.
The commission highlights Valve in the official press release, especially because the company did not cooperate. The other companies received a slight penalty for their cooperation.
Over 50% of all Europeans play video games. The sanctions against the “geo-blocking” practices of Valve and five PC video game companies serve as a reminder that, under EU competition law, companies are prohibited from contractually restricting cross-border sales. These practices deprive European consumers of the benefits of the EU digital single market and the opportunity to search for the most suitable offer in the EU, ”said Executive Vice President Margrethe Vestager, in charge of competition policy.
With the cooperation reductions applied, the € 7.8 million fine was distributed as follows:
Company | Reduction for cooperation | Fine (€) |
---|---|---|
Bandai namco | 10% | 340,000 EUR |
Capcom | fifteen% | EUR 396,000 |
Focus Home | 10% | 2,888,000 EUR |
Koch Media | 10% | 977,000 EUR |
ZeniMax | 10% | EUR 1,664,000 |
VALVE | - | 1,624,000 EUR |