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Bad news for Apple. The technology company is repeatedly facing accusations that it actively supports violations of gambling laws. This is exactly what is at stake in a current case from a class action lawsuit that was presented to a district court in California just last week. Once again, the technology giant is accused of actively supporting illegal gambling and even making massive money from it.
In Focus Again: Does Apple Support Illegal Gambling?
Gambling legislation in the USA is complicated. Possibly even more complicated than in Canada.
Numerous states go their own ways here.
What is legal in one state may be illegal in a neighboring state.
This is also problematic for technology companies like Google and Apple.
At the beginning of the year, Apple was sued for providing free social casino apps in its app store.
The accusation at the time was that these apps would encourage users to gamble illegally.
Only a short time later, a class action lawsuit was filed against Google.
Here, too, the issue was the admission of gambling apps in the Play Store.
Apple is now facing a lawsuit again.
A class action lawsuit was filed against the company in a district court in California.
Apple is accused of acting as a non-regulated casino.
Gambling Apps in the App Store: DoubleU criticized
Accordingly, the current case is primarily about the developments of the company DoubleU, which are available in the App Store.
According to the report, these developments are apps that simulate gambling at slot machines and gaming tables.
The free-to-play apps would thus violate the gambling laws of around half of all US states.
Apart from the design, there is another problem.
This lies in the game play and the process of the game rounds.
For example, players in the apps would receive a certain number of coins or tokens at the start.
These serve for use in the games.
Once players have used up their stock, they can buy new tokens for real money (in-app purchase).
Apple collects up to 30 percent commission for each of the in-app purchases.
The real problem: Players pay real money for the tokens but cannot win real money with them.
Accordingly, players can only win more game time.
According to the plaintiffs, using money to win more playing time is a clear violation of the anti-gambling laws of several states.
Impressive Numbers Presented
The class action lawsuit simultaneously warns of the potential effects of gambling access.
Gamers could develop an addiction to the seemingly free apps, which can turn into expensive pleasures through in-app purchases.
The plaintiffs estimate that about $3.5 billion disappeared in virtual free-to-play gambling apps in 2019.
Most of the revenue, talk of 80 to 90 percent, comes from a small percentage of just three percent of all players and users.
Apple is guilty of profiting from these developments and earning handsomely from the losses of the players.
Thus, Apple would not hinder illegal gambling, but would promote it and even profit from it.
Only With a License in the Play Store
For Google to include a gambling app for the use of real money in the Play Store, there are strict criteria to follow.
The most important requirement: only licensed providers.
If a company does not have a gambling license, the app will not be available in the Play Store.
Although Google is within the legal requirements, consumer advocates criticize this decision.
They say that the company is opening itself up to gambling and thus connecting its users with it.
According to consumer protection, the approved applications would offer great potential for addiction, especially among children and young people.
Unimpressed by the criticism from consumer protection, the number of sports betting apps in the Play Store is likely to increase significantly soon.
The same can happen if a uniform gambling regulation for online casinos appears in the fall of 2021.
Then, from Google's point of view, there would be nothing against offering casino apps in its Play Store as well.