{"id":981264,"date":"2026-01-06T12:33:21","date_gmt":"2026-01-06T12:33:21","guid":{"rendered":"https:\/\/www.polygon.com\/?p=457071"},"modified":"2026-01-06T12:33:21","modified_gmt":"2026-01-06T12:33:21","slug":"new-california-law-means-digital-stores-cant-imply-youre-buying-a-game-when-youre-merely-licensing-it","status":"publish","type":"post","link":"https:\/\/arcader.org\/news\/new-california-law-means-digital-stores-cant-imply-youre-buying-a-game-when-youre-merely-licensing-it\/","title":{"rendered":"New California law means digital stores can\u2019t imply you\u2019re buying a game when you\u2019re merely licensing it"},"content":{"rendered":"
\"A
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When you turn on your Xbox Series X, open the Microsoft Store, and buy Farming Simulator 22<\/em>, you might think you own the game, but you\u2019d be wrong. You actually paid for a license to play the game \u2014 not to own it. Companies can revoke the license at any time. It doesn\u2019t happen all too often, but it does happen, especially with older games: Ubisoft made headlines earlier this year when delisted racing game The Crew<\/em> in December<\/a>, took its servers offline, then started to pull licenses to the game. Licensing vs. actually owning a game becomes an issue, once again, when you consider where your games go when you die<\/a> \u2014 you can\u2019t technically pass your license along to another person, per many companies\u2019 policies.<\/p>\n

A new California bill (AB 2426<\/a>), signed into law by governor Gavin Newsom on Tuesday, is an attempt to bring transparency to the buying and selling of digital goods like movies, e-books, and, yes, video games. California assemblymember Jacqui Irwin introduced the bill<\/a>, in part, after hearing about Ubisoft\u2019s move with The Crew<\/em>. The bill won\u2019t change the fact that we\u2019re all licensing games instead of actually owning them, but it will force companies that operate in California to be more transparent about it. Companies and storefronts that would have to comply include Microsoft with the Microsoft Store, Valve with Steam, Sony with the PlayStation Store, Nintendo with its eShop, and publishers with their own stores, like Ubisoft\u2019s Ubisoft Store. <\/p>\n

Polygon has reached out to all previously listed companies but did not hear back by publication time.<\/p>\n

The law is expected to go into effect on Jan. 1, preventing companies that operate digital storefronts from using words like \u201cpurchase\u201d or \u201cbuy\u201d unless the company is clear that it\u2019s selling licenses, not \u201cunrestricted ownership interest in the digital good.\u201d This notice will have to be \u201cdistinct and separate\u201d from other terms and conditions of the purchase, according to the bill. The law doesn\u2019t apply to subscription-based services, free downloads like demos, or companies that offer \u201cpermanent offline download[s]\u201d of digital goods. Companies will be fined for breaking the rules.<\/p>\n

\u201cBy sending \u00a0AB 2426 to Governor Newsom, California is now the first state to recognize that when digital media retailers use terms like \u2018buy\u2019 and \u2018purchase\u2019 to advertise digital media licenses, they are engaged in false advertising,\u201d University of Michigan professor Aaron Perzanowski said in a news release from Irwin<\/a>. \u201cConsumers around the world deserve to understand that when they spend money on digital movies, music, books, and games, those so-called \u2018purchases\u2019 can disappear without notice. There is still important work to do in securing consumers\u2019 digital rights, but AB 2426 is a crucial step in the right direction.\u201d<\/p>\n

Digital purchasing is already ubiquitous, as physical media becomes less easy to find. Stores like Best Buy have stopped selling physical movies as a whole<\/a>, and it wouldn\u2019t be surprising to see more retailers follow. Physical video games use the disc as a license, and that disk is yours. But a company could still take servers offline, for instance \u2014 access still isn\u2019t guaranteed.<\/p>\n

Issues around ownership and digital goods, like movies and video games, will continue to be an issue; beyond companies revoking licenses, it\u2019s also becoming increasingly common to see games being delisted from sale<\/a> or pulled offline entirely, like with popular mobile game Kim Kardashian: Hollywood<\/em><\/a>. In the case of Kim Kardashian: Hollywood<\/em>, players lost a decade\u2019s worth of digital purchases. Not only is it a consumer issue, but it\u2019s a preservation problem, too<\/a>.<\/p>\n

Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

When you turn on your Xbox Series X, open the Microsoft Store, and buy Farming Simulator 22, you might think you own the game, but you\u2019d be wrong. You actually paid for a license to play the game \u2014 not to own it. Companies can revoke the license at any time. It doesn\u2019t happen all too often, but it does happen, especially with older games: Ubisoft made headlines earlier this year when delisted racing game The Crew in December, took its servers offline, then started to pull licenses to the game. Licensing vs. actually owning a game becomes an issue, once again, when you consider where your games go when you die \u2014 you can\u2019t technically pass your license along to another person, per many…<\/p>\n

Read More…<\/a><\/p>\n","protected":false},"author":1,"featured_media":981265,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-981264","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-polygon"],"yoast_head":"\nNew California law means digital stores can\u2019t imply you\u2019re buying a game when you\u2019re merely licensing it | Arcader News<\/title>\n<meta name=\"description\" content=\"When you turn on your Xbox Series X, open the Microsoft Store, and buy Farming Simulator 22, you might think you own the game, but you\u2019d be wrong. 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