Valve Faces UK Class Action Lawsuit Over £656m Proposed Damages
Valve Corporation is set to face a substantial class action lawsuit in the UK, claiming damages amounting to £656 million. The legal action revolves around allegations that the company’s 30% revenue share from sales on its Steam platform is excessively high, adversely affecting consumers.
Background of the Lawsuit
The legal proceedings began in June 2024, initiated by Vicki Shotbolt, the CEO of Parent Zone. Shotbolt argues that Valve’s commission policy results in heightened costs for users and restricts their ability to engage with other purchase platforms.
Key Allegations
- Valve’s 30% revenue share is deemed “excessive” by the plaintiffs.
- Consumers are allegedly “locked in” to the Steam platform for purchasing add-on content.
- The lawsuit claims this practices culminates in inflated prices for gamers.
Consumer Impact
The proposed damages are estimated to affect around 14 million Steam users in the UK. According to Shotbolt’s filings:
- Consumers pay between £8 and £23 more on game purchases.
- Additional costs for add-on content range from £14 to £29.
- The total potential excess cost could reach £22 to £44 per user.
Statements from Shotbolt
In response to the allegations, Shotbolt has emphasized that “Valve is rigging the market and taking advantage of UK gamers.” She has secured over £18.6 million in funding to support the lawsuit, although Valve has raised questions regarding the legitimacy of this financial support.
Previous Legal Challenges
Valve is not new to legal issues concerning its revenue sharing practices. Another company, Wolfire Studios, brought forth a similar antitrust lawsuit in April 2021, focusing on the 30% fee. Although initially dismissed, Wolfire refiled the case in May 2022 after revising its arguments.
Additionally, Dark Catt Studios initiated its legal action against Valve in June 2021. A court ruling in July 2022 combined these cases, allowing them to proceed as one. By November 2024, the consolidated lawsuit had been granted class action status.
As the case progresses, the implications for Valve and its business model may reshape the future of digital gaming sales in the UK and beyond.