Steam Sued By Group Of Gamers For Allegedly Violating Antitrust Laws
Valve Corporation is facing an antitrust class action lawsuit after it was accused of allegedly taking advantage of its market dominance to weed out potential competition.
According to reports, the class action lawsuit stemmed from the fact that Valve Corporation has enforced a policy in its Steam platform that forced game developers to not offer their games on other competing platforms at a lower price tag.
Because of this, the lawsuit claims, Valve can keep the prices high due to the absence of a competing company in the video game selling market.
The collective of gamers, Sean Colvin, Susann Davis, Ryan Lally, Everett Stephens, and Hope Marchionda, argue that Valve, through its Steam platform, has violated provisions of several antitrust laws, including the federal Sherman Antitrust Act.
But how can Valve Corporation’s case fall into a legally viable antitrust class action case?
The class action details that as soon as the company has unveiled its Steam platform, the company declared itself as the leading video game distribution company in the United States.
Almost three-quarters of all the video game sales transactions in the country happen under the watchful eyes of Valve’s Steam service.
Having monopoly power in its hands, the company is then able to stamp out potential rivalry from other platforms and can dictate what the prices of these games should be.
Tens of millions of users currently registered on the Steam platform are seen to be potential members of a Class that the complaint seeks to represent.
Additionally, the class action is asking the court to officially declare the aforementioned clause that Valve continues to impose on game developers as tantamount to illegal monopolization and is anti-competitive.
This is not the first time Valve Corporation has been in trouble because of their allegedly potentially antitrust behavior regarding its Steam platform.
Earlier this year, regulators from the European Union has slapped the company a 1.66 million Euro fine for blocking cross-border sales of its video game offerings in the European continent though it maintains that it has not done any wrongdoing.
Editor’s Note on Steam Antitrust Class Action Lawsuit:
This article is published to inform you of the latest class action lawsuit filed against Valve Corporation for allegedly violating antitrust laws concerning its Steam video game distribution platform.
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