The Federal Trade Commission has recently focused its consumer protection efforts on the mobile arena, and particularly video game companies operating in that arena.
Early last year, the FTC issued several staff reports related to mobile commerce and gaming. The reports (1) examined the use of mobile payments (see “Paper, Plastic… or Mobile? An FTC Workshop on Mobile Payments”), (2) promoted improved privacy disclosures for mobile consumers (see “Mobile Privacy Disclosures, Building Trust through Transparency”) and (3) revised online advertising disclosure guidelines (see “.com Disclosures, How to Make Effective Advertising Disclosures in Digital Advertising”). As with all FTC guidance, such reports do not represent the law. However, the reports do create safe harbors for companies that want to avoid FTC scrutiny.