A new law in California, signed by Governor Gavin Newsom, aims to address the confusion and frustration consumers face when digital products they purchase suddenly become inaccessible. The law, known as AB 2426, requires digital storefronts to clarify whether consumers are buying actual ownership of a product or simply gaining temporary access through a license. This change is designed to protect consumers by making the nature of their digital purchases clearer and more transparent.
Under this legislation, online stores selling digital goods, such as video games, music, movies, TV shows, and ebooks, must now explicitly state whether the consumer is purchasing ownership or just a license to use the product. This is especially important for digital products that can disappear from storefronts or become unavailable without warning, leaving consumers with no way to access the content they thought they owned.
California Passes Law Requiring Digital Stores to Clarify Ownership vs. Licensing of Purchases
Some companies have already started adapting to these new regulations ahead of the enforcement deadline next year. Steam, a major digital game distribution platform, has updated its storefront to inform customers that they are purchasing a license to access content, rather than owning the game outright. This distinction helps consumers understand that their access to the content is dependent on the service and may not be permanent.
For consumers, this means they need to be aware of the difference between owning a product and purchasing a license. A license only grants temporary access to the content, which can be revoked if the content becomes unavailable. In contrast, buying a digital download usually gives the buyer permanent access to the files. Notably, Steam has implemented this wording change globally, ensuring that customers everywhere are aware of the terms of their purchases.
