Antitrust hearing scheduled for August

[Update: The FTC has been officially granted the injunction filed against Microsoft. As such, Microsoft cannot complete it??s purchase of Activision Blizzard until? the case reaches Federal Court in August.]

The United States Federal Trade Commission has requested that U.S. place an injunction preventing Microsoft from closing its proposed purchase of publisher Activision Blizzard before the FTC's antitrust lawsuit, set to take place this August.

Despite the legal opposition from the commission, as well as the approval rejection from the UK, The FTC believes Microsoft fully intends to go ahead and complete the $68.7 billion merger, and that "they may consummate the proposed acquisition at any time". The FTC filed suit against Microsoft back in December 2022, but the case is still yet?? to be heard in court.

The FTC has asked for an injunction prevent?ing the sale from taking place be filed no later than June 15, and that said injunction remain in place until the court makes its decision later this summer.

In a statement to GamesIndustry.biz, Microsoft president Brad Smith writes: "We welcome the opportunity to present our case in federal court. We believe accelerating the legal process in th??e U.S. will ultimately bring more choice and competition to the market."

The FTC continues to build its case against the proposed sale ahead of August's hearing. The commission is expected to present arguments that Microsoft's ownership of the Call of Duty and World of Warcraft studio will create something of a monopoly within the ??industry, limiting player choice and confining popular brands to MS ow??n platforms. Microsoft has repeatedly denied that this is the intent behind its proposed purchase.

Pretrial briefs are expected to take place in July, with the court of?ficially op??ening August 2.

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Suspended sentence sought by defense

According to a report from Abema Times, (as translated by VGC) Sonic the Hedgehog co-c??reator Yuji Naka is facing 2.5 years in prison �in a??ddition to receiving a $1.2 million (USD) fine �for his role in insider trading schemes that took place during his time at developer Square Enix.

The punishment is being requested by the prosecutor's office at the Toko District Court, who argue that Naka had violated Japan’s Financial Instruments and Exchange Act, stating Naka had shown "no signs of remorse" for the offense. Naka was first arrested in November 2022 under suspicion that he had used insider knowledge in order to draw large sums of money on the stock market. Naka was then re-arrested again a month later on additional charges.

The prosecution argues that Naka, alongside fellow former Square Enix employee Taisuke Sazaki, knowingly invested in Japanese developer ATeam Entertainment, ahead of the announcement that the studio would be developing 2021 mobile release Final Fantasy VII: The First Soldier. Naka?? reportedly purchased 120,000 shares in ATeam at a cost of around ¥144.7 million yen (roughly $834,000 USD).

In a separate incident, Naka, Sazaki, and a third employee, Fumiaki Suzuki, were charged with purchasing stock in another studio, Aiming, ahead of Square Enix revealing that it would be working on Dragon Quest: Tact. In this instance, Naka was accused of having purchased ¥47 million (roughly $336,300 USD) of sha??res before the public announcement. The prosecution believed Naka ascertained the details ahead of time by accessing an internal website containing meeting transcriptions.

Nak?a's defense team is hoping to reduce the fine and is currently seeking a suspended sentence in the hope of preventing Naka from serving any jail time. A final verdict is expected in July.

Naka left Square Enix in 2021, following the critical and commercial failure of lurid platformer Balan Wonderworld. After the fact, Naka would also file s?uit against the publisher, arguing that he had been removed from Balan's development six months ahead of its much-maligned release.

Yuji Naka could be sentenc??ed to 2.5 years in prison for insider trading [VGC]

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The DMCA claims another court victory

Bungie has succeeded in the latest of an increasing line of lawsuits targeting online cheat sellers �The Destiny 2 developer was awarded $12 million in damages this week in ?its case against website VeteranCheats and ??its owner, Mihai Claudiu-Florentin.

As reported by The Game Post, Bungie filed suit against Romanian Claudi-Florentin in 2021, accusing the website owner of committing copyright infringement and tortious interference through the ?development selling of various hacks and cheats, distributed through the VeteranCheats domain. The key software allows players?? to see through walls and auto-aim, alongside other in-game advantages.

Bungie argued that the sale of VeteranCheats had caused significant harm to Destiny 2 and its community, frustrating users and unde??rmining the game's intent. Bungie sought default judgment of just over $12 million USD, including statutory damages of $2,000 for each of the cheat's 5,848 downloads, as well as an additional $146,000 for copyright viol?ation, and payment for the studio's legal fees.

The District Court of Washington found in favor of Bungie's claim, and ordered a total damage reparation of $12,059,912.98. In addition, Claudi-Florentin was barred from engaging in any activity that opposes Bungie's copyright act and DMCA rulings. As of this writing, the VeteranCheats website is still operational, selling cheats for other popular video games including Call of Duty and PUBG. The Destiny 2 hacks, obviously, have since been removed.

This lawsuit represents the latest of a series of successful suits Bungie has filed aga?inst online cheat sellers, having previ??ously won damage cases against companies such as AimJunkies, LaviCheats, and Elite Boss Tech.

Bungie Wins $12 Million ??Award Against?? Destiny 2 Cheat Seller [The Game Post / GamesIndustry.biz]

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Five-year case concludes with $5 million settlement

A Kansas court has settled the 2017 case in which a Witchita resident was shot dead by a police detective after officers responded to a fake "hostage situation" taking place at the man's house �the result of a "swatting" incident perpetrated by Tyler Barriss and concerning Call of Duty players Shane Gaskill and Casey Viner.

On the e??vening of December 28, 2017, 28-year-old Andrew Finch was at the house owned by his mother when he noticed police lights flashing directly outside of the residence. Opening the door to investigate the commotion, Finch was shot dead moments later by police detective Justin Rapp. Tragically, Finch was not remotely connected to the incidents that had led the police to his front doo?r that fateful night.

In reality, Los Angeles resident Tyler Barriss had sent the police to Finch's residence, erroneously believing that it was the home of Shane Gaskill, an Ohio resident who had gotten into a fight with another player, Casey Viner, over a "$1.50 wager match" on Call of Duty: WWII. As the two players taunted each other online, Viner asked Barriss �a frequent hoax caller �to "swat" Gaskill's house. Barriss then told Witchita police that there was a "hostage situation" taking place at an address obtained directly from Ga??skill, who had openly challenged Barriss and Viner to "try some shit".

[caption id="attachment_370235" align="alignnone" width="640"] Tyler Barriss in Court (Credit: KSN News)[/caption]

The address provided by Gaskill was, however, his former address, which was now occupied by Finch's mother. And thus, wrongfully believing an armed man was about to kill himself and his family, the police arrived ??at Finch's home and took immediate, deadly response. Finch was unarmed when he opened his front door, and Rapp did not identify himself before opening fire on the father, who di?ed at the scene.

In 2019, Barriss was sentenced to 20 years in prison after pleading guilty to a total of 51 federal charges related to swatting incidents, bomb threats, and other hoax calls. Casey Viner was jailed for 15 months for hi??s involvement in the killing, while Shane Gaskill was put on a deferred prosecution, but would violate his terms and eventually be sentenced to 18 months in the fall of 2022 .

[caption id="attachment_370236" align="alignnone" width="640"] Andrew Finch[/caption]

Following a period of relief from duty, officer Justin Rapp would testify in a federal court for the incident, admitting that he did not see a gun in Finch's hands before opening fire. Rapp would ultimately face no charge, returning to active duty and even receiving a promotion in 2022. This week's ruling sees Witchita County settle the case against Rapp for $5 million USD, which will?? be paid to Finch's fam?ily.

"I would like to express my thanks and gratitude to the activists who fought for myself and my children for five long years," said Tawny Unruh, the mother of Finch’s children, in comments made to The Witchita Eagle. "To the mayor and council who voted in favor of my children, th?ank you for making sure that my family can move on from this nightmare and begin to heal. We will never forget or understand why our Andy had to die but are grateful for all of the support we’ve received from our community."

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Unfair Dismissal cases dropped

[Update: In comments to Eurogamer, former ZA/UM employees Robert Kurvitz and Sander Taal have brashly disputed the contents of the statements re??leased by ZA/UM CEO Ilmar Kompus.

"The press release quotes Kender admitting that he has filed a?? 'misguided' lawsuit against ZA/UM in late 2022. We disagree," reads the duo's response. "Kender's lawsuit was based on the misuse of ZA/UM’s funds (�.8m) by the majority shareholders Kompus and Haavel to increase their own stake in the company. In the press release, Kompus and Haavel admit to t?his misuse, arguing only that the money has been "paid back to ZA/UM".

"Paying back stolen money, however, does not undo the crime; here, it does not undo the majority that Kompus and Haavel have illegally gained in ZA/UM [...] Kompus and Haavel silenced Kender on this matter, but they will not silence us. Unlike Kender, we have not participated in the looting of ZA/UM, and Kompus and Haavel have?? no power over us."

Original Article

Disco Elysium developer Studio ZA/UM has, to various effect, resolved numerous lawsuits filed against it within the past year. These include a case with the game's executive producer, Kaur Kender, as well as several Unfair Dismissal suits filed by several key members of the studio, who left the team in fall 2022.

The Kaur Kender lawsuit saw the former ZA/UM producer sue the studio's majority shareholding company Tütreke, claiming that ZA/UM CEO Ilmar Kompus had essentially "cheated" him out of � million, while also trying to illegally wrest control of the studio away from the founding members of the team. However, the case will no longer be progressing, as per a statement from Kompus offered to GamesIndustry.biz.

"The facts and the law led to this outcome," Kompus writes. "We are pleased that Kender and his attorneys have chosen to withdraw their lawsuit �one that should never have been filed in the first place. Their decision affirms there was no basis fo??r their accusations and that I have acted appropri??ately and responsibly, as underscored by the corporate records I provided."

A press sta?tement from the studio also includes comments from Kender, who has now "divested all his shares in the studio" and "repaid all his debts to the studio", as well as reimbursing Kompus' legal costs.

"After leaving my full-time ??role, I filed a lawsuit which I realised, after seeing the facts, was misguided." said Kender in the ??press statement.

/?/www.youtube.com/watch?v=nk_K5DM0UTk&ab_channe??l=GameSpot

The unfair dismissal suits were filed following the revelation that Disco Elysium designer Robert Kurvitz, writer Helen Hindpere, and art director Aleksander Rostov were no longer at the studio, having been "involuntary" pushed out of the company by its owners. While initially offering a more diplomatic statement, Kompus and business partner Tõnis Haavel would eventually ??allege that the departing members had been "creating a toxic environm??ent", and "belittling co-workers", with the party also accused of "intending to steal the IP".

Studio ZA/UM now says that Kurvits and Rostov have dropped their respective suits?, with the studio claiming a lack of evidence prevented the cases from progressing. The studio notes that it expects further accusations and cases to be brought forward by former employees, and it expects these cases to meet similar fates. In addition, Studio ZA/UM has received a �.8 million payment from its owner, ?Tütreke.

"As this transaction shows, open disc??ussions are the best way to clear up misunderstandings and differences, especially when it's for the benefit of the team," writ?es Kompus. "We've approached this with the collective interest of ZA/UM and our incredible team in mind, and we are glad to have reached a full resolution."

ZA/UM r??esolves legal dispute with Disco Elysium producer Kaur Kender [GamesIndustry.biz]

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Court demands full refunds for all Austrian FUT players

The controversial and highly lucrative FIFA Ultimate Team system is in hot water once ??ag??ain �This time, the trouble comes from an Austrian court, which has officially ruled that the microtransaction-based digital card collector violates the nation's gambling laws.

As reported by German news outlet GamesWirtschaft, the verdict comes at the end of a 2022 lawsuit that was filed against Sony Inte?ractive Entertainment by a group of PlayStation FIFA players. The suit is directed at Sony rather than FIFA publisher Electronic Arts because the FUT packs were purch?ased on the PlayStation Network, which makes the sales contract with Sony, and not with EA itself.

The court decreed that players being able to sell FUT cards on a secondary market added elements of value to many randomized items. The court argued that this action gives FUT players the opportunity to access a profit margin for their randomly accessed products, which is what violates Austria's gambling laws. As such, the court has ordered Sony to refund Austrian FIFA players who have made FUT purchases ?on? PlayStation Network.

Padronus, a law firm specializing in recovering losses from online casinos, reports that over 1000 FIFA players have contacted them looking for compensation, with individual purchases ranging from three to five figures. It seems, however, that there is a cap on the amount Sony will have to refund any one player, and it should also be noted?? that Sony has the option to appeal the verdict, which it most likely will.

Since its initial inception in 2018, FIFA Ultimate Team has been both lucrative and controversial. The mechanic has faced up to legal scrutiny time and again �especially in the European court system, while EA came under heavy fire back in after it was discovered employees had been selling highly sought-after FUT items "under-the-table", in what was unimaginatively dubbed "EAgate". Despite the headaches, EA has remained steadfast in its decision to keep the FUT system live and kick??ing, and given that it has raked ??in somewhere in the region of $1.5 million USD every year since its launch, it is unlikely to pull the plug until forced.

Austr??ian court rules that FIFA loot boxes violate gambling la?ws [GamesIndustry.biz]

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Get in line

A Californian judge has rejected Microsoft's request that a lawsuit opposing its acquisition of Activision Blizzard is "paused" until after the publisher completes its pending lawsuit with the Federal Trade Commission (FTC) �itself a lawsuit opposing the $68.7 billion merger.

The so-called "Gamer Lawsuit" was filed by Alioto Law Firm and the Joseph Saveri Law Firm in December 2022, and represents a party of citizens who are against Microsoft's proposed purchase of the World of Warcraft and Overwatch 2 developer. As reported by Axios' Stephen Tolito, Microsoft had attempted to put this particular suit on hold whil?st it focuses its efforts on the more prominent FTC lawsuit, but will seemingly have to take on both suits simultaneously.

"The lawsuit seeks injunctive relief to prohibit the acquisition as a violation of Section 7 of the Clayton Antitrust Act and to protect consumers from unlawful concentration of power within the video game industry. Section 7 prohibits all mergers and acquisitions in which the effect 'may be substantially to lessen competition, or to tend to create a monopoly.'" wrote Alioto Law Firm of its suit.

"Upon the deal's completion, Activision would be wholly owned by Microsoft?. If allowed to proceed, this acquisition would stifle market competition, reducing consumer choice, lowering quality and output, increasing prices, and preventing future competition with??in the video game industry."

The "Gamer Lawsuit" is a further hurdle Microsoft faces in its efforts to complete the Activision Blizzard purchase. The publisher is also required to take its lawsuit with The FTC to trial, (currently scheduled to take place this August), and will then have to find similar favor with The European Commission. When you also factor in the poss??ibility of appeals from all parties, it seems that this whole affair is a long, long way from completion.

Judge blocks Microsoft's request to pa?use gamer lawsuit [GamesIndustry.biz]

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A drop in the cyberocean

The class action lawsuit that was filed against CD Projekt RED for the disastrous launch state of its mega-selling RPG Cyberpunk 2077 has been settled for $1.85 million USD.

The suit, filed on December 24, 2020 by New York's Rosen Law Firm was launched by a party of investors who accused CDPR of misleading its shareholders over the quality of the title, which famously launched in disastrous fashion on PS4 and Xbox One back in December 2020. The suit argued that CDPR offered "materially false and misleading" statements on the title in its development stages, before finally releasing Cyberpunk 2077 in a "virtually unplayable" fashion.

This week, a California's Central District Court judge signed off on the $1.85 million damage payout. Previously it had been considered ??that the penalty would be somewhere in the region of around $1?1 million. It should be clearly noted that this case specifically is for CDPR's investor market, and thus does not involve consumers or other parties.

It all, obviously, amounts to an afterthought, as Cyberpunk 2077 would sell somewhere in the region of 13 million sales during its launch month, and is believed to have shifted well over 20 million copies as of September 2022. The $1.85 million payout will be, essentially, loose change from the revenue pulled in from the title release �which has since gone on to launch on PS5 and Xbox Serie??s X, albeit in a far greater and more polished technical form.)

With interest renewed via the excellent Cyberpunk: Edgerunners Netflix series, the catastrophic launch of Cyberpunk 2077 has seemingly been all but forgotten by many, consigned to gaming history books as a chucklesome "remember when?" scenario. CD Projekt RED had, until that point a practically blemish-free record, and is already well on its way to redemption, at little cost. In fact, in this week's end-of-year Steam awards, the troubled title stunned users by bagging the ce?remony's "Labor of Love" award.

Here's hoping that this whole sorry s?cenario and the causality of its closure does not set a precedent for future projects from major studios.

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No 'substantive' settlement talks between parties

The ongoing battle between The Federal Trade Commission (FTC) and Microsoft over the latter's proposed purchase of Activision Blizzard rages on �?And, according to recent comments by the former, it looks like neither side has been willing to give up a single yard, leading toward a clear impasse.

Speaking in a telephone hearing on Tuesday, FTC attorney James Weingarten noted that there has been no "substantive" settlement talks between the trade body and the publisher, suggesting that the two parties will have no option but to pursue the FTC's filed suit to legal trial, which ??i??s tentatively set for August of this year.

As we have frequently reported, the FTC is one of a number of statutory bodies that are currently refusing to offer its approval of Microsoft's purchase of Activision Blizzard, first announced in January of 2022. The FTC is concerned that the merger of the two industry giants will create a monopoly, especially should Microsoft choose to make Activision Blizzard's titles Xbox-exclusive �The "Golden Goose" being billion-dollar shooter franchise Call of Duty. Microsoft, who denies any intention of keeping CoD all for itself, has fanned the flames somewhat by openly calling the FTC's actions "unconstitutional".

If a settlement is not reached before the summer, then the FTC's lawsuit, filed earlier last month, will go to trial, wh??ere a law judge will make the ultimate decision for the parties either way. It should be noted that both parties will have the option to appeal t?he result, suggesting that this impasse could continue well into the latter days of 2023.

Outside of the FTC suit, Microsoft will still have to seek the approval of other global regulatory bodies in territories such as Europe and the UK, meaning that this deal could still prove to be well over a year away from closure, at the very least. Of course, to worried publishers such as Sony, any such de??lay will likely be met with open arms.

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Overdone.

The long-running legal case regarding controversial Cooking Mama: Cookstar has finally drawn to its conclusion, with The International Court of Arbitration ruling that publisher Planet Entertainment did indeed infringe upon Office Create's IP with the 2020 release.

Available for PS4 and Nintendo Switch, Cooking Mama: Cookstar fell into controversy immediately, with rumors swirling that it utilized the Nintendo Switch hardware to mine cryptocurrency. Though Planet Entertainment stated that this wasn't the case, Cooking Mama IP owner Office Create filed suit against the publisher, stating that the company's right to use the Cooking Mama brand h??ad expired �the initial build of the comical cook sim having been submitted and rejected back in 2018.

"Unfortunately, the quality of the game builds failed to meet the standards that our customers expect and deserve," said Office Create at the time. "Office Create rejected a wide range of deficiencies affecting the overal??l feel, quality, and cont??ent of the game.

"Yet, despite being contractually obligated to correct the identified deficiencies and resubmit the corrected game for Office Create's approval, Planet proceeded to release Cooking Mama: Cookstar without addressing all of the rejections and withou?t Office Create's approval."

Following this week's legal ruling, Cooking Mama: Cookstar has been removed from the PSN Store and the Nintendo eShop, and all remaining physical copies must be removed from store shelves. To date, the most recent official Cooking Mama release was Apple Arcade title Cooking Mama: Cuisine! which launched in July of this year.

Co?urt rules that Cooking Mama: Cookstar infringed upon Office Create's IP [GamesIndustry.biz]

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Sony PayStation

A Californian court has granted the request of Sony Interactive Entertainment that it dismiss a class-action lawsuit, filed in 2021, that accused the publisher of maintaining a monopoly over the p??rice and distribution of digital games via its popular online store, PlayStation Network (PSN).

The consumer-led lawsuit alleged that SIE held full control over the prices of all titles sold via the PSN store, arguing that the removal of digital game codes from high street retailers, (a practice that Sony halted three ago), meant that Sony now held a "price monopoly" in regards to the sales of all digital PlayStation video games, forcing consumers to exclusively use PSN and pay its respecti?ve prices.

However, as reported by Bloomberg Law, Judge Richard Seeborg of the Northern District of California dismissed the case this past weekend, citing that there was no ??evidence that SIE removed digital codes from high? street stores in order to acquire full control of PlayStation's digital game sales. The success or failure of the suit depended upon the plaintiff's ability to prove that SIE's primary goal in removing code sales was to eliminate sales competition. In the court's opinion, this was not achieved by the lawsuit.

"For all the foregoing reasons, the motion to dismiss is granted because Plaintiffs have failed to allege adequately anticompetitive conduct under the Sherman Act [the law by which corporate antitrust is defined], and the other claims are derivativ??e of the Sherman Act claims," wrote Judge Seeborg. "Although it is unclear at this time if the deficiencies may be cured, Plaintiff is granted leave to amend."

The Sony PSN suit is one of a seemingly endless number of lawsuits brought against publishers in regard to the operation and legalities of digital storefronts. Recent years have seen a litany of varied cases brought against companies such as Epic Games, Apple, Valve, and others. While we are well into the third decade of d?igital games sales, it seems the rulebook is still far from closed in regards to pricing, distribution, regional changes, re??funds, and other consumer laws long since established in street retail.

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'Surprise Mechanics' back in the crosshairs

Gaming's most controversial economy, the Loo?t Box and its random-related brethren, are once again the target of European councils, who are calling for new legislation for the controversial in-game purchase mechanic.

This latest venture follows the publishing of a new report titled "Insert Coin," penned by The Norwegian Consumer Council (NCC) which looks into the short-and-long-term impact caused by so-called "Surprise Mechanics" on the health, welfare, and wallets of video game players. The report targets the predatory and compulsive nature exhibited by the loot box concept, noting that the mechanic "exploits cognitive or behavioral biases to incentivize spending." The report calls out certain examples by name, including EA's FIFA franchise and mobile title Raid: Shadow Legends.

Following the report's publication, over 20 consumer groups from 18 European countries have par?tied together to call for immediate and severe legislation again??st all forms of loot box/gacha gaming and the publishers who chose to include it in their titles. While the report lists several potential compromises �such as banning misleading in-game currency, further declaring prize odds, and removing loot boxes from all games targeting minors �the council also suggests simply banning paid loot boxes altogether.

Loot boxes, gacha, and other "surprise mechanics" have remained both a lucrative and highly controversial part of gaming for many years now. While there have been repeated instances of investigations, lawsuits, and governmental interference into the application of in-game purchases, there is �staggeringly �yet to be definitive law on what a loot box is/isn't, and how they can be globally instigated (or not) in video games the world over. In the meantime, publishers such as Activision Blizzard, EA, and myriad mobile game makers have been making money hand-over-fist and thus will be unlikely to pull the ??plug anytim??e soon.

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Never in The Netherlands

This week sees the launch of Activision Blizzard's hellish new MMO, Diablo Immortal. But while the free-to-play mobile title is preparing to unleash its evil upon most of the planet, two countries will reportedly be blocking the title's launch due to their resp?ective laws on in-game?? purchases.

Initially reported by Dutch news outlet Tweakers, both Belgium and The Netherlands have refused Diablo Immortal service within the countries' borders due to "the current operating conditions in these countries." It should be noted that both countries in question have taken staunch stances?? against the controversial "loot box" mechanic, which continues to skirt around various gambling laws worldwide.

//www.youtube.com/watch?v=_sDxsXYn78w

Over on the Diablo Immortal subreddit, poster Evoratus uploaded a message they received from a Blizzard e??mployee warning players from the affected countries from attempting to log in. This statement openly calls ou??t the loot box laws as the reason that the title will not launch in Belgium or The Netherlands, and suggests that any Blizzard account that fans a way to circumvent the block may find itself banned.

"Unfortunately players in the Netherlands and Belgium will not be able to install Diablo Immortal due to the countries' gambling restrictions," reads the unofficial statement. "The lootboxes in the game are against the law in your country, so unless the ga??mbling restrictions change the game will not be released [...] It would be illegal for you to download the game in another country like France. If you manage to run the game I cannot guarantee that you will not be banned for it."

In addition, pre-registration for Diablo Immortal has been closed on both PC and mobile platforms. For all other countries, Diablo Immortal is still expected to launch on June 2.

Diablo Immortal reportedly won't launch in two countries due to loot bo??xes [GamesIndustry.biz]

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Group fighting for better parity among genders

A party of current and former Activision Blizzard employees have formed a ?new committee in order to combat sexism, in?equality, and gender bias within the studio's walls. The anti-discrimination committee currently consists of 12 members, and has drafted a list of demands for the attention of Activision CEO Bobby Kotick, diversity officer Kristen Hines, and chief human resources officer Julie Hodges.

As reported by The Washington Post, the four-page document demands include private lactation support, 12 weeks of paid parental leave, and the implementation of independent investigations for employee complaints and incidents. The latter of these is likely a response to Activision's recent decision to create its own "Workplace Responsibility Committee," an in-house investigative body that includes some of the compa??ny's ow??n board members.

In addition, the new group is calling for the establishment of a trans support network for all of Activision Blizzard's transgender staff and requests that Activision remain true to its p?romise to waive mandatory arbitration on any and all cases of alleged discrimination. (Blizzard claims that it previously implemented this in October 2021.) In the further interest of clarity, the committee wishes Activision to allow its employees full documentation of any communication with the human resources team.

"My hope in joining the committee is that we don’t let the fervor die down until there is meaningful, long-lasting change," said Blizzard motion graphic design?er Emily Knief. "At the end of the day, I would like to go into work and not have to think about an??ything but my work. But based on everything that has been happening, even well before it broke through the headlines, it has been taking up a sizable portion of my day, having to think about the inaction of leadership."

Activision Blizzard responded to the new committee's demands in a statement to The Washington Post.

"We appreciate that these employees want to join with us to further build a better Activision Blizzard and continue the progress we have already made," writes Activision Blizzard spokesperson Jessica Taylor. "We ha??ve, for example, already upgraded our lactation facilities, waived arbitration, hired new DEI and EEO leaders, and collaborated with employees to make our policies and processes more Trans inclusive, just to name a few issues the letter raises."

While one might assume some of the above demands w??ould have been standard practice within such a massive, billion-dollar global organization, clearly there is still much work to be done in order to improve the safet??y, security, and mental well-being of the industry's employees.

You can find an abridged timeline of the Activision Blizzard controversy, investigation, and response right here.

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District Court considers policies plausibly 'unlawful'

A U.S. District Court judge has ruled that publisher Valve Corp. should face antitrust litigation for the operation of its PC gaming platform?? and digital sales store, Steam.

As reported by Bloomberg, the dictum was handed down on May 6 by Judge John C. Coughenour of the U.S. District Court for the Western District of ?Washington. Coughenour stated that, in his opinion, Valve is in a hig?hly favorable market position and that this could potentially enable the company to use market dominance to exploit or intimidate its developers and customers.

"The company 'allegedly enforces this regime through a combination of written and unwritten rules' imposing its own conditions on how even 'non-Steam-enabled games are sold and priced,'" wr??ote Coug??henour in his ruling. "These allegations are sufficient to plausibly allege unlawful conduct."

The case, initially filed by developer Wolfire Games in the spring of 2021, concerns several elements of Steam's operation. These include the 30% commission taken by Valve on sales, the ability to withh??old keys and revoke publisher privileges, and Valve's favored use of controversial "Most-Favored-Nation" policies, a technique used by many online outlets to drive-up prices, particularly in the United States.

Previously, Coughenour had ??ruled preliminarily in Valve's favor, partly dismissing the case in November and requesting that all consumer claims went into arbitration. However, it seems that the Most-Favored Nation concerns still stand, and as such Valve will have to face the antitrust suit, or at least its partial allegations.

Previously, Valve was among a number of publishers �including Capcom, Zenimax, Bandai Namco, and Koch Media fined by the European Commission over antitrust concerns. Despite online sales increasingly becoming the foremost form of modern ret?ail, the rules and regulations in regard to consumer and distributor rights remain somewhat ungrounded.

Valve loses ?bid to end ant?itrust case over steam gaming platform [Bloomberg]

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Sony's $3.6 billion deal to be scrutinized

According to a new report, the Federal Trade Commission (FTC) is preparing an investigation of Sony's previously announced intention to acquire studio Bungie. The publisher announced the $3.6 billion USD purchase of the Destiny developer in January of this year.

According to a report by The Information, (as noted by gaming news outlet VGC), Sony will first have to face the FTC's investigation ?before the proposed deal can be completed. The commission has been taking a newly focused interest in major trade deals under the current U.S. administration, and as such is called upon to look into big-bucks signing for the potential for Antitrust, Monopolization, or any other questionable business practices.

This does not, of course, mean that Sony's proposal is a nefarious one. The FTC is also currently investigating Microsoft's staggering $68.7 billion purchase of Activision Blizzard for similar possibilities. As the video game industry ??continues its current trend toward mergers, acquisitions, and consolidation, the FTC and the federal government w??ill be keen to make their presence known, eager to make the money-spenders aware that billion-dollar deals can still be blocked on an administrative level.

Despite all the chest-beating, however, it is likely that the Sony/Bungie deal will go ahead, much as Microsoft/Bethesda did back in March of 2021. The Microsoft/Activision Blizzard acquisition remains up in the air, given the incredible sums of money at play, plus Activision Blizzard's recent controversies �the most recent of which involves a lawsuit?? filed by the State of New York earlier this week.

Should Sony acquire Bungie, (with the FTC's blessing), the publisher has already stated that Destiny 2 will remain a multi-platform release. Bungie itself is expected to operate as an independent subsidiary following the sale, and will not be merged into PlayStation Studios? as a whole.

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S H O C K

We are approaching the first anniversary of the fateful day California filed a lawsuit against studio Activision Blizzard following an investigation into sexual harassment, gender pay discrepancies, and other examples of the company exercising a toxic work environment. And if the World of Warcraft publisher had thought the situation would have passed by now, matters remain wid?e open.

The most recent headline, originally published by Axios, concerns a proposal from The State of New York. The state is suggesting that Activision Blizzard release an annual report, specifically focusing on efforts to combat harassment, abuse, and other toxic practices within its walls. The report would openly disclose hours worked by staff, as well as pay and other compensatory efforts. Also to be listed in the report is the total number of filed complaints, pending matters, and settled? cases, among other details.

In response to New York's proposal, Activis??ion Blizzard's board of directors unanimously voted to recommend that all company shareholders vote ag??????????????????????????ainst the annual harassment report proposal. The board suggests that compiling the report would take focus, time, and energy away from other matters �matters, the company posits, that would do more benefit to the Activision Blizzard staff in the long-term.

"Focusing all our attention on these concerns is the best way quickly and effectively to create genuine change in our workplace," reads Activision Blizzard's response. "Second, the proposed report itself, even if completed after significant time and expens??e, would create a set of metrics that are simply not the best measures of how the Company is responding to employee concerns."

"The Board is committed to measuring the speed and effectiveness of our changes accurately, not based on metrics that are not precisely tailored to our Company's situation," contin?ues the statement. Activision also states its concern that such a report might jeopardize the personal details of its staff membe?rs.

Activision Blizzard is not the only company New York is proposing the report?? to, having also requested similar efforts from under-scrutiny companies such as Starbucks and Tesla, both of?? which have also faced concerns of employee abuse and toxicity in the workplace. Microsoft's board of directors also previously rejected such a proposal in 2021, though the company as a whole eventually found in favor of instigating the report.

The official vote on the annual harassment report is likely to take place at Activision's annual meeting in June. You can read an abridged timeline of the Activision Blizzard controversy right here.

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FUT decreed not 'an isolated game'

In a surprising bit of legal news, a Dutch court has ??overturned the â‚?0 million fine handed down to Electronic Arts over its popular loot box mechanic FIFA Ultimate Team (FUT). The Dutch Administrative Jurisdiction Div?ision has upheld the publisher's appeal, effectively overruling the decision handed down by The Court of The Hague in 2020.

The Hague had previously decreed that EA broke Dutch gambling laws via the sale of in-game FUT packs, fining the FIFA publisher a hefty â‚?00,000 for each week it continued to sell the digital add-ons, with a maximum penalty fixed at â‚?0 million. EA chose t?o call the ruling's bluff, filing for appeal and continuing to sell the digital trading cards in t?he meantime.

A risky ??endeavor that has paid off (quite literally.)

On Wednesday, as reported by Eurogamer, The Dutch Administrative Jurisdiction Division �essentially the highest order of law in the Netherlands �decided that the purchasing and opening of FUT packs did not qualify as "an isolated game," and that it was an element of chance voluntarily utilized as a part of a "game of skill" (FIFA itself).

"The vast majority of packs are obtained by and used for game participation," ruled the court. "Since the packs are not a standalone game, they are not a game of chance and do not require a licence. The publisher has therefore not violated the Games of Chance Act and the Gaming ?Authority should therefore not have imposed a penalty payment on the publisher. The Administrative Jurisdiction Division has 'revoked' the imposed penalty."

Though this particular situation has worked out in EA's favor, it has been a turbulent 12 months for the FIFA franchise. In the summer of 2022, a scandal dubbed "EAGate" saw employees selling high-ranking FUT cards "under-the-table" for ludicrous amounts of money. More recently, it seems more and more likely that EA and FIFA itself are scheduled to part ways, with the former rumored to be considering a full rebrand, following the alleged doubling of the latter's licensing fee.

For decades, FIFA has been one of the most financially lucrative franchises in all of gaming. As such, any and all controversies and criticisms are simply storms that EA will gladly wea?ther if, ultimately, it is able to keep the ball rolling.

EA's â‚?0m Dutch FIFA loot box fine overturned [Eurogamer]

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The biggest conspiracy in MGS history

Konami has quietly announced that it intends to remove some classic titles in the Metal Gear Solid franchise from digital storefronts. The "temporary" removal will begin today on almost all platforms on which the ??affected titles are available.

The two titles being removed are 2001's Metal Gear Solid 2 and 2004's Metal Gear Solid 3: Snake Eater, as well as all collections and compendiums that include these games �such as the Metal Gear Solid HD Collection. It seems that the licenses are set to expire on the t?itles' use of historical footage for its cutscenes and FMV sequences, and while publisher Konami works to renew these licenses, it has no choice but to make the respective games unavailable for sale.

We're obviously talking a few seconds of grainy, jerky, black-and-white, out-of-context footage... But such are the ways of business??. Konami has not offered any hint as to when the relicensed games will return. The affected titles are as follows:

PlayStation 3 �METAL GEAR SOLID 2 SONS OF LIBERTY HD EDITION
PlayStation 3 �METAL GEAR SOLID 3 SNAKE EATER HD EDITION
PlayStation 3 �METAL GEAR SOLID HD EDITION
PlayStation Vita �METAL GEAR SOLID 2 SONS OF LIBERTY HD EDITION
PlayStation Vita �METAL GEAR SOLID 3 SNAKE EATER HD EDITION
PlayStation Vita �METAL GEAR SOLID HD COLLECTION
PlayStation Now �METAL GEAR SOLID HD COLLECTION
Xbox 360 �METAL GEAR SOLID HD EDITION: 2 & 3
Nintendo 3DS �METAL GEAR SOLID SNAKE EATER 3D
GOG.com �METAL GEAR SOLID 2 SUBSTANCE
NVIDIA Shield �METAL GEAR SOLID 2 HD for Shield TV
NVIDIA Shield �METAL GEAR SOLID 3 HD for Shield TV

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But backpay expected to be a fraction of what's owed

Former employees for long-defun?ct developer 38 Studios have been informed they will finally receive some of the back pay owed from the studio's closure in ?2012, almost a decade after the staff's initial lay off.

As reported by Bloomberg, 38 Studios �whose sole release was 2012 RPG Kingdom of Amalur: Reckoning �registered for bankruptcy shortly after the title's release, with over $150 million USD owed to an army of a reported 1,000 creditors. Further strife was caused by a last-minute studio relocation and repayments on a whopping $75 million loan. This led to some 40??0 employees failing to receive their final wages before the shutter was finally pulled down for good.

Last week, a Delaware court finally decided that payment was still owed to the emp?loyees, and checks have started arriving on a variety of doormats. I state "a variety" as some of 38 Studios' former devs have stated that the checks are finding their way to old home addresses, such was the lengthy period between the studio's closure and the court's decision. Equally frustrating, the team members are unlikely to see the full owed amount. Those who worked at 38's Rhode Island studio are expected to receive around 14% of what they are owed, with the Maryland team receiving around 20%.

The rights to the Kingdom of Amalur IP currentl??y lie within th??e mammoth portfolio of THQ Nordic.

38 Stud?ios staff receiving final paycheck nine years after closure [GamesIndustry.biz]

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Nintendo going back for Round 2

Nintendo is taking further legal action against Switch ROM-selling website RomUniverse, with whom the publisher previously filed suit in 2019, in the case that saw the?? site's ??owner ordered to pay Nintendo $2.1 million in damages.

As reported by Pocket Gamer, Nintendo has filed a new request for a permanent injunction, after RomUniverse owner Matthew Storman allegedly missed their first monthly payment of $50. Nintendo sees Storman's failure ??to meet the payment as a sign of the defendant's disregard for the court's orders. Furthermore, Nintendo believes that Storman intends to relaunch RomUniverse, and is thus seeking a permanent injunction against the site and its owner.

"This failure to make even the modest $50/month payment, an amount that he proposed and agreed to, demonstrates that Nintendo has no adequate remedy at law for Defendant's past or future infringement and underscores the need for a permanent injunction," reads Nintendo's new filing, also noting "[The] Defendant's threat to continue to operate RomUniverse to distribute videogame ROMs, usi?ng the same website he used for the past several years to mass-infringe Nintendo?'s copyright and trademark rights, necessitates the entry of an injunction."

Back in May, presiding Judge Marshall ordered the closure of RomUniverse, ordering Storman pay Nintendo trademark damages of $400,000 USD, as well as $35,000 for each Nintendo product liste??d on the website, for a total of $2.1 million.

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Booker T defeated in Call of Duty legal rumble

And so, yet another Call of Duty lawsuit comes to a close, ??as a Texas courtroom finds favor with publisher Activision in a long-running likeness lawsuit with WWE star Robert "Booker T" Huffman.

The case, which was filed way back in February of 2019, concerns the Call of Duty: Black Ops 4 character David "Prophet" Wilkes, whom Huffman argued was directly influenced by "G.I. Bro," a wrestling persona Huffman portrayed in the early stages of his career, (as well as in his latter WCW days). While the character of Prophet bore little resemblance to Huffman's G.I. Bro portrayal, it did feature arguable ??similarities to a later artist's impression of the wrestler that featured on a poster, used to promote a comic book featuring Huffman's G.I. Bro character.

Huffman's lawyer, Micah Dortch, argued that there was "no question" that Activision had copied the G.I. Bro interpretation, citing the hairstyle, body type, clothing, and "facial expressions" as a direct pull. Activision argued that Huffman did not own "the idea of an angry man with a scowling look." Crucially, Activision argued that the G.I. Bro poster in question had itself been modeled on another wrestler, Dwayne "The Rock" Johnson, and was thus non-copy writeable. Eventually, a jury found in favor of Activision, bringing an end to the two-year-long case.

This is not the only lawsuit Activision has faced in 2021 in regards to Call of Duty's cast of gun-toting characters. Back in February, photographer and writer Clayton Haugen filed suit against Activision, claiming that the popular Modern Warfare operator "Mara" was a direct copy of "Cade Janus," a fictional character Haugen had created for a short story. Mara is portrayed in Call of Duty by model and streamer Alex Zedra, who also modeled for Haugen in ??photographs taken to promote the writer's story.

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Captive Audience

It's been at least a few hours since the last one started, so it's time for another industry lawsuit. In the dock this time is Sony Interactive Entertainment, which is fa??cing a class-action lawsuit o?ver the exclusivity of digital software as it pertains to its online storefront, PlayStation Store.

As reported by Bloomberg, the consumer-led lawsuit accuses SIE own maintaining a monopoly over the price of digital games, given that the PlayStation Store is the only place said titles are available. While Sony previously allowed digital game codes to be sold over-the-counter in high street stores — as well ??as other third-party retailers — this practice was halted two years ago, making the PS Store the only?? place in town to officially acquire digital games for PlayStation platforms.

"Sony's monopoly allows it to charge supracompetitive prices for digital PlayStation game??s," reads a section of the suit filing. "[the digital games] are significantly higher than their physical counterparts sold in a competitive retail market, and significantly higher than they would be in a competitive retail market for digital games."

The suit references examples of online customers being charged up to 175% more for purchasing a game via PlayStation Store than it would purchasing the same title in a hypothetical third-par?ty-retailer environment. The case is set to be heard presently at the U.S. District Court in San Francisco, California.

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Hundreds of Fortnite players dial-in to vent their thoughts

The opening moments of the Epic vs. Apple antitrust suit were rendered amusingly farcical yesterday, after a public conference call failed to mute all of its listeners, leading to a chorus of Fortnite players dialling-in to sound off about the restrictions placed on their favorite battle ??royale title.

The conference call — implemented in many courtrooms — allows members of the public to log on and listen to proceedings live as they take place. But, as reported by The Verge, the court failed to mute all of yesterday's listeners, leading to over 200 participants simultaneously caterwauling that Fortnite remains unavailable on iPhone and iPad. Some listeners reportedly made the most of the opportunity, taking time out to advertise their YouTube and Twitch chann??els. You gotta hustle, I guess...

After about 15 minutes of technical fiddling, the line went silent. The case finally opened at Oakland Federal Court, San Francisco at 11:30 ET. The proceedings will run from Monday to Thursday and are expected to last for the majority of May. After just one day, information has already been made public regarding Fortnite's earnings, potential DLC plans, and the cost of running PC platform Epic Games Store. Unsurprisingly, the monetary numbers pertaining to all of the above push well into the ?billions.

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Batman: Arkham Knight was an early bar-raiser

As the "Epic vs. Apple" kaiju-esque courtr??oom battle gets underway, more and more tidbits are being uncovered regarding what goes on Behind the Curtain at the industry giants. Presented for your consideration: a document that reveals has much money Epic doled out in order to secure titles for Epic Games Store's free game giveaw??ays.

The document, released to Twitter by Game'sDiscoverCo.'s Simon Carless, paints an interesting picture of the dollar amounts certain titles cost over others. For example, old-school indie adventure Torchlight cost Epic $150,000 USD to procure for giveaway status, while Unknown World's Subnautica cost a princely $1.4 million. Ubisoft's multiplayer battler For Honor was a bargain at $63,000, while the most expensive title on the list is Rocksteady's epic Batman: Arkham Knight, which sold for $1.5 million.

As the list specifically concerns 2019's giveaways, Rockstar's Grand Theft Auto V — a game so in-demand it crashed the Epic Games Store's servers back in the summer of 2020  &mdash??; is not noted.

Overall, Epic spent just shy of $12 million in the first nine months of its free games scheme. A fortune to the major??ity of us, but loose change for the Fortnite studio. Epic Games Store continues to operate at a loss, and is unlikely to turn a profit for several years more. But Epic boss Tim Sweeney is fully aware of the costs, a?nd sees the tossed fortunes as a mere "investment" in the company's long-term future.

The Epic vs. Apple antitrust trial continues... I'm reminded of the Alien vs. Predator tag-line.

Want to know how much $ the devs of those 'free' Epic Games Store games got, & how many copies were grabbed? Here's the first 9 months to September 2019. 👀 pic.twitter.com/5hkLb1VEjj

— Simon Carless (@simoncarless) May 3, 2021

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Trademarks blocked by similarly named mobile game

Activision is once again in a legal tangle over matters concerning its billion-dollar shooter, Call of Duty. This latest courtroom soiree revolves around the publisher's use of the word "Warzone" in the title of its uber-successful battle royale release Call of Duty: Warzone.

The problem began back in June 2020, when Activision filed trademarks with the U.S. patent office for "Warzone" and "Call of Duty: Warzone" as applied to its free-to-play shooter. As reported by PC Gamer, Warzone - a tabletop-style strategy title that has been using the name since 2017 - has continuously blocked these trademarks. Warzone's holding company, Warzone.com, proposes tha?t allowing Activision to secure the word "Warzone" will hinder the former's efforts to eff??ectively market its wares.

Activision has denied Warzone.com's claim that the trademark would cause "consumer confusion," calling the potential mix-up "inconceivable." Activision notes that both Warzone and Call of Duty: Warzone are entirely different games in entirely different genres. Activision also states t??hat the word "Warzone" is featured in the titles of at least 15 other mobile games, asking why Warzone.com has not taken the same ?fight up with any of these other, similarly named releases.

Activision was supposed to complete its trademark process in December of 2020 but has received numerous extensions in order to tackle this dispute. Last week, Activision filed a new suit in efforts to bring the situation to a close, requesting that the U.S. patent office be allowed to complete Activision's tradem??ark applications, while demanding Warzone.com recoup Activision's "reasonable" legal costs.

Warzone.

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Accused studio releases statement to 'set the record straight'

Quantic Dream has successfully appealed against a 2018 ruling in which a former developer sued the studio for unfair dismissal. As ruled by the Paris Court of Appeals, the former employee's accusations have been dismissed. Furthermore, they are now responsible for paying "substantial damages" to Quantic Dream, reportedly?? in the region of €10,000 (roughly $12,000 USD).

The initial case went to court amidst a slew of articles in the French press, exposing alleged toxic behavior, "bro culture", sexism, and homophobia within the Heavy Rain studio's walls. Specifically noted was the distribution of Photoshopped imagery that presented studio staff members merged with celebrities, engaged in sexualized situations, or dressed in Nazi regalia. The Court of Appeals, ??however, ruled that none of the images involving this specific plaintiff could be considered homophobic, racist, or degr?ading toward them.

Furthermore, the court ruled that the plaintiff not only knew about the images as far back as 2015, but that they only complained once another employee put forward their own report about it. The court ruled that this late actio?n showed a degree of "tacit acceptance" from the plaintiff of the images' existence. It should be reiterated that the court isn't? saying the images didn't exist, nor that the plaintiff wasn't featured in them, but that the court doesn't believe the plaintiff should be able to claim that their unfair dismissal can be directly related to the images' existence... Press X to side-eye.

Following the appeal, Quantic Dream released a new statement denying the existence of any "toxic culture" whatsoever at the studio. The statement references multiple suits filed by employees against the studio, as well as its own ??in-house investigative survey, while stating that the Paris Court of Appeals' rulings further invalidates the 2018 press reports into Quantic Dream's working environment.

"Quantic Dream reaffirms once again the values that the studio has always d?efended in its games and within the company, which are values of humanism, inclusiveness, and the right for individuals to express themselves uniquely. We will continue to defend them with the same passion and determination as always. Quantic Dream remains firmly committed to continuing to work with its employees to create a serene work envir?onment conducive to the professional and personal development and fulfillment of everyone."

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No objections raised in industry-shaking acquisition

Microsoft is now one step closer to completing its acquisition of ZeniMax Media, having sought and received approval from both the European Commission and the U.S. Securities & Exchanges Commission (SEC) both of whom offered no opposition to the multi-billion dollar deal from takin?g place.

By law, Microsoft was obliged to seek approval from the statutory bodies on the basis of Antitrust - essentially global laws that are in place in order to supervise and prevent the formation of monopolies within a given industry. Th??is is a common legal procedure in transactions of this nature, and was also sought by Tencent during the conglomerate's acquisition of mobile giant King in 2016.

Hav??ing received approval from both the EU Commission and the SEC, Microsoft is now expected to press forward with the $7.5 billion transaction, which is expected to see completion in late-2021. The deal gives Microsoft ownership of ZeniMax Media and its subsidi??ary studios and licenses, including those of video game publisher Bethesda Softworks.

Bethesda and Microsoft have previously assured video game fans that the new deal does not automatically designate all future Bethesda releases as Xbox/PC exclusives, suggesting that title exclusivity will be designated on a "case-by-case" basis. Bethesda's next release, Deathloop, will retai??n its initial PlayStation exclusivity despite the Microsoft pu??rchase.

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Go ask your father

Without a shadow of a doubt, one of the biggest stories in the gaming industry last year was Microsoft's acquisition of ZeniMax Media, which saw the former dole o??ut a staggering $7.5 billi?on for the umbrella group and its subsidiary companies, including publisher Bethesda Softworks.

But despite the initial sale declaration made back in September 2020, Microsoft still has to settle several matters of red tape before the purchase can be completed, the latest of which sees Microsoft appealing to the European Union for its approv??al of the industry-shaking transactio??n.

The regulators of the EU must investigate Microsoft's purchase regarding matters of Antitrust - essentially checking to make sure that the purchase does not break any of the EU's laws designe??d to prevent the formation of monopolies. This is a standard stage of legality in mergers of this nature, and was also applied to Tencent's 2016 purchase of mobile developer King, as well ??as the 2008 merger that spawned the company we know today as Activision Blizzard.

Shortly after the purchase was announced, Microsoft officials were quick to note that the deal did not necessarily mean future Bethesda products would be Xbox exclusive, noting that game platforms would be decided on a "case-by-case" basis. In fact, out of the gate, Sony will retain its PlayStation exclusivity deal on Bethesda's Deathloop and Ghostwire: Tokyo.

The EU has until March 5 to complete its investigations and come to a decision, but it remains likely that the commission will offer Microsoft its a??pproval of t?he ZeniMax purchase, which will then enter its completion stages later in 2021.

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'We can't in good conscience continue to enable to use of this image'

[Update: Taking the lead from a suggestion by Sean Plott, Twitch has announced that, effective immediately, it will be switching out the "PogChamp" face for one taken from a database of faces, substituting a new image into the role every 24 hours. This motion will now see the famous emote repre?sented by many of the streamers and audience members who?? make up the Twitch community.]

Original Article:

Twitch has pulled one? of the most frequently used, community-established emotes from its chat services following comments yesterday from Ryan "Gootecks" G?utierrez, whose face is represented in said emote.

A recognized personality within the fighting game community, Gutierrez is a Street Fighter player, host, and commentator, as well as the co-founder of video network Cross Counter TV.?? The "PogChamp" emote – an image of Gutierrez taken from a 2010 Cross Counter TV outtake – has for many years been used in Twitch chat by viewers to express su?rprise or hype.

Following yesterday's violence in Washington D.C., which saw pro-Trump rioters storm Capitol Hill in? efforts to delay, disrupt, and/or overturn the results of November's presidential election, Gutierrez made comments on?? Twitter concerning the shooting of a woman at the scene, one of five people - including a Captiol Police officer - who died as a result of the chaos.

"??Will there be civil unrest for the woman who was executed inside the Capitol today or will the #MAGAMartyr die in vain?" tweeted Gutierrez, before posting video of the fatal shooting, alongside suggestions that Twitter was trying to censor him from doing so.

Not long after Gutierrez' comments, several Twitch streamers stated that ?they were banning use of the PogChamp emote from their own streams going forward, with Twitch itself eventually announcing that the emote would be removed entirely from its chat service.

"We've made the decision to remove the PogChamp emote following statements from the face of the emote encouraging further violence after what took place in the Capitol today," said the streaming service on Twitter. "We want the sentiment and use of Pog to live on – its meaning is much bigger than the person depicted or image itself – and it has a big place in Twitch culture. However, we can't in good conscience continue to enable use of the image. We will work with the community to design a new emote for the most hype moments on Twitch."

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