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Italian authorities give Google & others 20 days to submit defence to “unfair” in-app purchase claims

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An Italian competition organization has given Google, Apple, Amazon and Gameloft twenty days to submit a defence to its investigation into in-app purchases or face a fine of up to €5M ($6.9M), reports ZDNet.

The companies now have 20 days to comply with the requests for information that came with the letter, and to respond with their defences to the allegations. If the alleged violations proved to be true, the three internet giants and the European game developer could each face a fine up to €5m — although the Italian watchdog told ZDNet that the punishment would be proportional to each company’s size.

The complaint is based on two concerns. First, whether consumers are clear about the likely total cost of the app at the time they download it. Second, whether sufficient information is provided about how to prevent or limit in-app purchases, especially in games played by children.

Google and Amazon have come under particular fire for allowing in-app purchases without any need to enter a password.

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