Vindicia CEO: CA SCOTUS Win Could Kill Freemium Market

September 28, 2010 -

Earlier this month we mentioned the amicus brief filed by online billing solution provider Vindicia, which backed the videogame industry in the looming Schwarzenegger vs. EMA Supreme Court showdown.

Vindicia CEO Gene Hoffman, Jr. has since penned an article for Xconomy on the case and how a ruling for California could kill the freemium model (a la Electronic Arts' Battlefield Heroes or id Software's Quake Live) of distributing videogames to the masses:

…the freemium model requires unfettered initial access to the game by millions. The only sure way to prevent minors from accessing forbidden games online is to require a credit card validation up front. But that’s also a big deterrent for many adults: virtually no one who uses the Internet believes that giving a card number to a game maker would not eventually result in a charge to that card.

Destroying the frictionless access that adults have to free-to-play games that might be considered violent would drastically decrease innovation in the online games world, as the base of potential users would no longer be large enough to convince developers to take the risk on new games.

In its amicus brief, Vindicia expressed concern over how the California law would impact online videogame sales, noting that, “… the Act makes no mention of how this regulation would be applied to varying digital platforms and distribution, e.g., video game home consoles, smartphone applications and Internet gaming sites.”

Comments

Re: Vindicia CEO: CA SCOTUS Win Could Kill Freemium Market

At a time when proponents of Sharia law are exercising a heckler's violent veto over the “Everyone draw Mohammed” meme, we can not stand idly by while legislators and lobbyists make value judgments about content that create significant unintended consequences.

Can anyone explain to me why Mr. Hoffman felt the need to throw in a reference to "proponents of Sharia law" and draw an analogy to an issue of, at best, marginal relevance to the issue he discusses? He's not a member of the "Muslims Want to Take Over America" school of thought, is he?

Re: Vindicia CEO: CA SCOTUS Win Could Kill Freemium Market

Unlikely.  The Supreme Court's been pretty clear on credit card authentication as a means to prove age.  Even if CA wins on this one and violent games are put in the same category as pornography, SCOTUS has already established that the government can't require a credit card check to view pornography.

Re: Vindicia CEO: CA SCOTUS Win Could Kill Freemium Market

Not so fast! According to a certain ex-lawyer and "First Amendment Expert", credit card authentication is not a legal means to prove age.  This is how he put Take Two out of business...oh wait.

 
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E. Zachary Knighthttp://reason.com/blog/2015/04/01/this-anti-gay-pizza-place-got-trashed-on04/01/2015 - 8:17pm
E. Zachary KnightAccording to this link, the pizzeria owner did not actually refuse anyone service. He was ask by a reporter if he would cater to a gay wedding and he answered in the negative. When that was published, the rants came rolling in.04/01/2015 - 8:17pm
Papa MidnightCorrection to my prior note, DiRT 3 Complete Edition does NOT replace DiRT 3 in user's libraries. But existing owners of DiRT 3 do get it for free.04/01/2015 - 8:00pm
Matthew Wilson@AE it could be like pokemo, but the tweet and the site makes it look like 2 different games. tbf I do not know Japanese.04/01/2015 - 7:29pm
MechaCrashInteresting how YouTube comments are universally acknowledged to be cesspits of idiocy where no coherent thought can survive, until a woman closes them. Then it's CENSORSHIP and being AFRAID OF DEBATE.04/01/2015 - 7:29pm
Andrew EisenThat's... weird. The Direct made it sound like this was an organic part of a single game.04/01/2015 - 7:08pm
Matthew Wilsonapparently the 2 sides of the story in the new fire emblem game is 2 difrent games in japan, and we are getting both combined. https://twitter.com/RPGSite/status/583415770744393729/photo/104/01/2015 - 7:00pm
MonteAE: there are pizzaria's that also make italian food which you can order in bulk to cater parties. Also, google pizza wedding; cause it is pretty cool04/01/2015 - 6:50pm
ConsterThe vast majority of (if not all) 1-star reviews are angry rants about its policy. 'Jesus said to love thy neighbor, assholes' (paraphrased) seems very common.04/01/2015 - 6:49pm
Matthew WilsonI did not check it out personaly. I only read a arctlice about it, but it does seem to be in a lets just say a very mean way.04/01/2015 - 6:41pm
Andrew EisenTrashed in a fair way or are people lying about cockroach infestations and stuff?04/01/2015 - 6:24pm
Matthew Wilsonwell they also are getting trashed on yelp too. given the number of people that use it, I suspect they will lose allot of business even if they change their mind.04/01/2015 - 6:19pm
Andrew EisenIt's a pizza joint. It caters weddings? Really? I mean, that's cool. Really cool, even. But seriously?04/01/2015 - 6:02pm
Consterhttp://www.huffingtonpost.com/2015/04/01/indiana-pizza-gay-couples_n_6985208.html04/01/2015 - 5:57pm
Andrew EisenConster - Link?04/01/2015 - 5:55pm
Conster-annnd they are 'temporarily closed' after phone threats. Way to take the moral high ground against bigotry, people. -,-04/01/2015 - 5:51pm
ConsterThe first business to use SB101 to deny service to gay weddings has arisen - let's see if EZK's theory about the free market being sufficient to deal with them holds u-04/01/2015 - 5:50pm
MonteYa i remember when she first started her videos with the comment sections open. There was A LOT of vile harrassment to shift through to get to any REAL debate. Youtube is a TERRIBLE debate forum. Can't blame her for not wanting to deal with harrasment.04/01/2015 - 5:49pm
ConsterWho's this "Anitia Skeeter" person you speak of?04/01/2015 - 5:31pm
Matthew Wilsonfatal frame coming to the US04/01/2015 - 5:25pm
 

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