Brazil Court Orders Apple and Other Tech Giants to Pay $58 Million Over Loot Boxes

The Federal District’s first childhood and youth court in Brazil ordered Apple, Microsoft, Tencent, Google, Sony, Electronic Arts, Riot Games, Ubisoft, Valve, Konami and Nintendo to jointly pay roughly 298 million reais (about €50.5 million or $58.7 million) for exposing minors to loot‑box mechanics deemed illegal gambling. Apple was fined 50 million reais (≈€8.47 million). The ruling also requires the companies to implement strict technical measures: age‑verification systems, mandatory display of win probabilities, clear warnings about the random nature of rewards, and an automatic refund mechanism for purchases made by minors without parental consent. The decision relied on Brazil’s Constitution, the Child and Adolescent Statute, and the Consumer Protection Code. Affected minors may also seek individual compensation, and the companies retain the right to appeal.

The judgment marks a significant enforcement step for consumer protection in digital games, signalling that existing legal frameworks can be applied to emerging gaming practices without awaiting specific legislation.