Valve Disagrees with Mastercard's Claim of Not Pressuring Game Platforms Over Adult Content

Valve has countered Mastercard's assertion that it did not express concerns about adult content on Steam. Mastercard issued a statement on August 1 to address allegations that it, along with other payment processors, was pressuring gaming platforms like Steam and itch.io to remove or censor adult content. The statement claimed Mastercard had not evaluated any games or required restrictions on game creator sites and platforms, contrary to reports. Instead, Mastercard stated it allows all lawful purchases on its network, requiring merchants to have controls in place to prevent unlawful purchases, including illegal adult content. However, Valve disputed this, stating Mastercard expressed concerns over adult content on Steam through intermediaries rather than directly. A Valve spokesperson said Mastercard communicated with payment processors and their acquiring banks, which then relayed the concerns to Valve. Valve outlined its policy of distributing legal games, but payment processors rejected this, citing Mastercard's Rule 5.12.7 and potential risk to the Mastercard brand. This rule pertains to 'Illegal or Brand-damaging Transactions' and prohibits merchants from submitting transactions that are illegal or may damage Mastercard's goodwill. The rule specifically highlights sales of products or services that are 'patently offensive' and lack serious artistic value, such as nonconsensual sexual behavior or exploitation, as violations. Mastercard's emphasis on this rule suggests the company considers not just illegal products but also 'patently offensive' content that may harm its brand as a violation. This type of content, while not inherently illegal, is subject to community standards and the First Amendment. To be considered obscene and thus unprotected, such content must meet the three-part Miller Test, which assesses appeal to prurient interests, depiction of sexual conduct in a patently offensive way, and lack of serious literary, artistic, political, or scientific value. Given Mastercard's rule wording, the Miller Test could be applied to determine whether certain adult games are 'patently offensive' and in violation of Mastercard's rules. Organizations like the IGDA and UKIE have expressed concern over the crackdown on adult content on gaming platforms due to payment processor policies, citing potential self-censorship, especially among LGBTQ+ creators.