A Surge in Regulations: Key Legal Trends to Watch in the Gaming Industry in 2025

At the beginning of 2024, we outlined our predictions for the year's legal trends in the gaming industry. Now, as we look back, it's time to assess where our forecasts were correct and where they missed the mark, and to make new predictions for 2025. We've dropped certain topics from our discussion this year, such as the Metaverse and NFTs, due to the lack of significant developments in these areas. However, there are still numerous key trends to explore, and we'll delve into the most critical ones below. One of the primary areas of focus will be the intersection of AI and intellectual property (IP), which promises to be a double-edged sword for game developers. On one hand, AI can be a powerful tool for creating assets, testing game worlds, and moderating gameplay. On the other hand, leading AI systems are capable of producing images that plainly reproduce game IP, potentially leading to copyright infringement issues. The EU's AI Act, which will come into effect in 2026, imposes significant obligations on companies, including the need to disclose when users are interacting with AI and to mark AI creations. Another crucial area of discussion will be the Digital Services Act (DSA) and its implications for the protection of minors. While no game or games service has been designated as a very large online platform under the DSA, the European Commission intends to publish guidelines in 2025 dealing with the protection of minors. Games companies should expect increased scrutiny from authorities and consumer protection organizations, particularly with regards to monetization methods, loot boxes, and 'dark patterns.' The discussion around loot boxes is unlikely to subside, and we may see more outright bans or sanctions for game operators. Furthermore, the right of withdrawal will be an essential aspect of the broader consumer protection topic. Clones and IP disputes will continue to be major issues, potentially exacerbated by the use of AI. The European Court of Justice's ruling on cheat software will also have significant implications for the industry. In the realm of data protection, the use of personal data for AI training will be a critical topic, and companies must ensure that their processing operations comply with GDPR requirements. The trust and safety aspect will also be pressing, particularly with regards to age verification and monitoring in-game communication. Finally, the integrity of esports will remain a vital concern, with discussions around match-fixing, cheating, and the legal admissibility of esports betting. The International Olympics Committee's announcement of Olympic Esports Games in 2025 will likely bring these issues to the forefront. As the gaming industry continues to evolve, it's essential for companies to stay informed about these emerging trends and to adapt their strategies accordingly.