27.03.2025 | Hungarian competition authority
On March 28, 2025, the Hungarian competition authority, along with other EU consumer protection agencies, launched a joint initiative against Star Stable Entertainment AB, a Swedish company known for its popular children's online game. This action is coordinated by the European Commission and aims to address various commercial practices that may violate EU consumer protection laws and pose risks to children.
The CPC has identified several concerning practices, including direct solicitation of children in advertisements, psychological pressure through limited-time offers, and a lack of clear and understandable information regarding in-game payment methods. Additionally, the company failed to ensure that influencers promoting its products clearly labeled their content as advertisements.
Star Stable Entertainment has one month to respond and propose solutions to the issues raised by the CPC. In conjunction with this action, the CPC has published guidelines aimed at promoting transparency and fairness in the online gaming industry, particularly concerning virtual payment methods. These guidelines emphasize clear pricing practices, avoiding hidden costs, ensuring consumers' right to withdraw, and respecting the vulnerability of consumers, especially children.
The Hungarian competition authority has also been actively focusing on commercial practices affecting vulnerable consumer groups, including children. Recently, it has warned parents about potential risks and scams associated with mobile and desktop video games. Through its Digital Awareness Program, the authority aims to educate children aged 10-16 about consumer protection issues in the digital space.
Furthermore, the Hungarian competition authority is monitoring influencer marketing practices and has initiated proceedings against several influencers and advertisers for alleged violations of fair trading practices. This is part of a broader effort to ensure fair competition and protect consumers.
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