HeadlinesBriefing favicon HeadlinesBriefing.com

Brazil orders Apple to pay $58.7M over loot boxes

9to5Mac •
×

A Brazilian children’s court ordered Apple and ten other game publishers to pay nearly $58.7 million in collective moral damages for loot boxes that minors can access. The ruling treats the random‑reward model as gambling, citing constitutional protections for children. Apple, Microsoft and Tencent each face R$50 million fines, while other firms receive smaller penalties.

The court also ordered refunds for purchases made without parental consent, mandatory age‑verification tools, clear warnings about randomness, and disclosure of item odds. Victims may seek individual compensation by proving harm in a separate phase. Fines range from R$5 million to R$40 million, translating to roughly $1 million‑$7.8 million per company, and enforce compliance audits annually to ensure full adherence.

Companies can appeal, but the decision forces a rapid redesign of monetization practices in Brazil’s massive mobile market. By mandating transparency and age gates, the ruling could pressure global developers to adopt similar safeguards elsewhere. Regulators in other jurisdictions are watching the outcome closely, hoping to replicate Brazil’s approach.