Gaming Giant Steam Accused of Overcharging 14 Million UK Gamers
Valve Corporation, the owner of Steam—the world’s largest digital distribution platform for PC games—is facing a £656 million lawsuit. The company is accused of leveraging its market dominance to overcharge 14 million UK gamers.
“Valve is rigging the market and taking advantage of UK gamers,” stated digital rights campaigner Vicki Shotbolt, who is spearheading the case. Valve has been contacted for comment.
The claim, filed at the Competition Appeal Tribunal in London, accuses Valve of “shutting out” competition in the PC gaming market. It alleges that Valve “forces” game publishers to adhere to price parity obligations, preventing them from offering lower prices on rival platforms.
According to Ms. Shotbolt, this practice has allowed Steam to charge an “excessive commission of up to 30%,” resulting in UK consumers paying inflated prices for PC games and add-on content.
The case is a collective action claim, meaning one person goes to court on behalf of a larger group.
Ms. Shotbolt, who accuses Valve of breaching UK competition law for at least six years, says she is bringing the claim “to stop this unlawful conduct and help people get back what they are owed.”
Steam is a PC gaming platform where players can buy games and purchase in-game extras.
According to VG Insights, Steam had record-breaking sales in 2023, generating over $9 billion (£7.1 billion) in global revenue. This success was driven by 580 million games sold and 14,000 new games released.
However, the market is extremely concentrated, with the top 10 bestselling games accounting for 61% of all sales and the top 100 games making up 91% of total sales.
The claim is backed by the legal firm Milberg London LLP, known for bringing group action cases against large companies.
“Competition law is there to protect consumers and ensure that markets work properly,” said Natasha Pearman, a partner at the law firm.
“When they don’t work properly and consumers are harmed, collective actions of this kind provide consumers with a voice and a way of holding big companies, like Valve, to account,” Pearman added.
This case is the latest in a series of collective action legal cases against big tech companies. Other claims lodged at the Competition Appeal Tribunal have sought compensation from Facebook, Google, and Sony.