Over the past decade, the video game industry has shifted toward the so-called “free-to-play” model. Although downloading these games costs nothing, companies generate massive profits through in-game purchases, or “microtransactions.” While the industry continually emphasizes that these purchases are voluntary, researchers argue the term is misleading—especially when spending €100 or more is hardly a “micro” transaction for children and teenagers.
According to a new study published in the journal Frontiers in Public Health, the vast majority of video game revenue is generated by a very small group of players. The top 10% of spenders, whom researchers refer to as “heavy spenders,” account for the largest share of overall financial turnover. Researchers note that this unequal spending model bears a striking resemblance to gambling systems. Furthermore, the study revealed that high spenders are not exclusively children from wealthy families, and it is precisely within this small group that the risk of gaming addiction and gambling disorders is highest.
The similarity between free-to-play games and the gambling industry extends beyond so-called “loot boxes” (virtual boxes with unknown contents). In-game paid subscriptions, virtual currencies, time-limited offers, and personalized discounts continuously nudge players to spend. Developers frequently employ psychological manipulation and specialized design techniques to induce user decisions that primarily serve the company’s financial interests.
Due to potential harm, gambling is strictly regulated by law, whereas video games remain largely uncontrolled. Although several European countries (such as Belgium and the Netherlands) have attempted to ban specific practices, scientists argue that regulations must be expanded to directly address the frequency and ease of purchases to reduce the risk of impulsive spending. Researchers contend that it is unacceptable for the entire responsibility of protecting children to fall solely on parents, who often lack adequate tools to counter complex designs engineered to hook players and maximize extraction.
The economy of so-called free games is not actually free. Although most young people use video games without serious issues, the system cannot be considered safe. When an industry’s primary revenue source relies on a small and vulnerable group of players, government protection and the restriction of exploitative practices become essential.
