Valve contends that the prosecutor’s demands significantly exceed current legislation and could potentially harm both players and the entire gaming industry.
Valve has officially commented on the lawsuit filed by New York Attorney General Letitia James, which alleges that the loot box systems in Counter-Strike 2, Dota 2, and Team Fortress 2 purportedly habituate minors to gambling.
Following an investigation, the prosecutor’s office filed a lawsuit on February 26, claiming that the company “earned billions of dollars by luring users — many of whom are teenagers or younger — into gambling-like activities.”
In its response, Valve expressed disagreement with the validity of the accusations and disappointment that the matter progressed to court, despite their attempts to explain their position to authorities. The company emphasized that discussions regarding virtual items and loot boxes with the Attorney General’s office began as early as 2023.
Valve highlighted that similar “randomized packs” are prevalent not only in video games but also in the real world. As illustrations, the company cited collectible card games like Pokémon and Magic: The Gathering. The developer further noted that items obtained from loot boxes are purely cosmetic and provide players with no gameplay advantages.
Valve also criticized the Attorney General’s office’s demands to alter the in-game item system. The company stated that authorities propose prohibiting the transfer of items between users. The developer insists that the ability to exchange or sell digital items is an important right for players, comparable to selling physical collectibles.
Furthermore, Valve noted that several proposed measures would require collecting additional personal information from users worldwide, for instance, for age verification or identifying players from New York using workarounds for regional restrictions. The company deems such actions excessive and potentially infringing on user privacy.
Valve stated that it commits to complying with any future laws if state legislation indeed establishes new regulations for loot boxes. However, the company reiterated that the prosecutor’s demands extend far beyond existing legislation and could have negative consequences for players and the entire industry.