Unfair Probability Items... Nexon Hit with 'Largest Ever' 11.6 Billion Won Fine

Fair Trade Commission Recognizes Violation of the Electronic Commerce Act

Nexon, the top online game company in domestic sales, was fined 11.6 billion KRW along with a corrective order for lowering the acquisition rates of certain probability-based items in games without properly informing users.

On the 3rd, the Korea Fair Trade Commission (KFTC) announced that Nexon Korea was found to have violated Article 21, Paragraph 1 of the "Act on Consumer Protection in Electronic Commerce, etc." (hereinafter referred to as the Electronic Commerce Act) during the operation of its flagship games MapleStory and Bubble Fighter, and imposed a fine of 11.642 billion KRW along with a prohibition order.

The KFTC stated that the investigation confirmed that Nexon omitted or falsely informed users about changes in probabilities, which are important factors in consumers' purchasing decisions.

A KFTC official explained, "This case is the first plenary review case since the Electronic Commerce Act was enacted in July 2002, and it is the largest fine ever imposed under the Electronic Commerce Act, although the final fine amount may be adjusted later during the process of confirming related sales."

In March 2021, the KFTC judged that Nexon's operation method of some probability-based items violated the Electronic Commerce Act and initiated an ex officio investigation into Nexon.

In May 2010, Nexon introduced the probability-based item "Cube," exploiting users' psychology to quickly enhance in-game character stats, and increased sales by encouraging repeated purchases. As a result, Cube became a revenue model accounting for 30% of MapleStory's total sales.

During the Cube sales process, Nexon changed the probability structure disadvantageously for users so that the desired potential options appeared less frequently or not at all, but explained internally that this was "something users can discover through adventure," or instructed to "hold off on quick responses as it only advances the timing of customers' re-inquiries," thereby failing to notify users or providing false information, the KFTC explained.

The KFTC said, "Nexon continuously changed the Cube's probability structure or content disadvantageously for users through various methods without notifying or falsely notifying them. Additionally, Nexon changed the probability of the Magic Needle used in the Bubble Fighter All Bingo event disadvantageously for users but omitted this from notices and issued false notices."

This is not Nexon's first sanction by the KFTC regarding probability-based items. In 2018, Nexon was sanctioned by the KFTC for false and deceptive acts related to probability-based items sold in the online game Sudden Attack.

The KFTC evaluated this measure as "setting important information standards to guarantee consumer choice rights regarding probability-based items, which are cash cows for domestic online game companies."

This content was produced with the assistance of AI translation services.