this post was submitted on 24 Nov 2023

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Gabe Newell ordered to make in-person deposition for Valve v. Wolfire Games lawsuit (web.archive.org)

submitted 1 year ago by [email protected] to c/[email protected]

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[–] [email protected] 94 points 1 year ago (6 children)

They have a monopoly but that's because they're just the best service. It's not just that they were the first, they're just consistently the best. Everybody who has spun up another ancillary launcher and DRM service has always made an inferior product to Valve's.

Epic games bribes you with free games, launched without a functioning cart, and hoovers your data.

EA has gone through Origin and the EA app, both of which are awful; Origin being the butt of jokes for years and the EA app being an unstable piece of garbage that logs you out every day with "a particularly annoying bug".

Ubisoft. Self explanatory.

I could keep going on, but Valve earned their position in the market. Could they reduce the cut and still exist with a good profit? Absolutely, but that's the only thing I'd really want them to change - treat the devs a bit more fairly.

[–] [email protected] 19 points 1 year ago (4 children)

It doesn't matter. The suit is alleging that valve threatened to ban games if they were cheaper on other stores. Thats monopolistic price manipulation, and it's illegal. Valve even pro.ises not to do this in its terms of service - their price parity policy is only supposed to apply to steam keys. That would be fair, because otherwise they couldn't give out keys in the first place. But you can't force devs to list games at the same price and then decide on the cut you will take if you are a monopoly. They will have to prove Valve violated its ToS.

[–] [email protected] 16 points 1 year ago (2 children)

It doesn’t matter. The suit is alleging that valve threatened to ban games if they were cheaper on other stores. Thats monopolistic price manipulation, and it’s illegal.

That is only true specifically for Steam keys and is a very important distinction. You can't sell your game cheaper with your free Steam keys on another store cheaper than Steam without giving Steam customers the same discount within a 'reasonable amount of time'.

Publishers/Developers are free to undercut Steam with non-Steam keys on other stores.

From their policy:

It's OK to run a discount for Steam Keys on different stores at different times as long as you plan to give a comparable offer to Steam customers within a reasonable amount of time.

[–] [email protected] 3 points 1 year ago (1 children)

In his blog, David claimed that steam reps were threatening to pull his game if he listed lower on other stores.

[–] [email protected] 3 points 1 year ago* (last edited 1 year ago) (1 children)

But did he have proof to back up the claims? Or did he make the claim with no evidence?

[–] [email protected] 2 points 1 year ago

I have no idea. We will see in court right?

[–] [email protected] 2 points 1 year ago

Feel like that is never actually enforced with my frequent use of isthereanydeals to check current and historical pricing before buying a game.

https://isthereanydeal.com/game/riskofrainreturns/info/

[–] [email protected] 6 points 1 year ago (1 children)

If that's what they actually did then they deserve to have legal repercussions.

[–] [email protected] 3 points 1 year ago

Right. Valve is claiming they didn't, and that they only demand price parity for steam keys. So it will be interesting to see how this plays out.

Honestly, I am not sure what game valve would play to do this. Devs could just make a red and green version of their game to sell on different platforms and price them differently. Meanwhile, to customers, a games price is a games price and developer publisher and distributor are always incentivized to find the highest price a customer is willing to pay through game theory. The market has definitely proven that customers don't care about what percentage of the cut goes to devs. So there is no incentive for anyone to post a game at a lower price than what a customer is wiling to pay on steam as long as steam retains the highest volume. Telling devs to not price the way they want seems very counter productive to being a good retailer, so who knows.

[–] RedWeasel 4 points 1 year ago (2 children)

Have they actually done any banning or such? I have seen Phantom Liberty on sale repeatedly since it launch on GOG, but haven't seen it once on Steam.

[–] [email protected] 3 points 1 year ago* (last edited 1 year ago) (1 children)

Games like Risk of Rain Returns is selling cheaper than it's ever been on Steam. I use isthereanydeals often to check current and historical pricing before buying a game.

https://isthereanydeal.com/game/riskofrainreturns/info/

[–] [email protected] 0 points 1 year ago (1 children)

You have to remember that allot of these sales are from key retailers that will do stuff like buy keys wholesale. I'm not completely sure how that market works honestly, but that generates a lot of sales.

The case is really going to depend on David proving that Valve engaged in the alleged behavior. Games go on sale all the time, so there is a difference between a game being temporarily cheaper on one site because of a sale or key resell market demand, and valve using their influence to fix prices.

[–] [email protected] 1 points 1 year ago* (last edited 1 year ago) (1 children)

Isn't that what sale is with it being sporadic? Retail price is for people who can't wait for sales and need it now.

Not sure how retail price would be used. Permanent price drops are rare for pretty every purchasable good out there beyond digital games with companies saying something is X% off leading to more purchasing with consumers thinking they are getting a deal.

Publishers I believe are also the ones with power to fill the market with Steam keys to then have it priced however they want and including them in bundles that are sometimes less than the price of just the game alone during a sale. Some publishers opt to not make steam keys available at all.

As consumer it's just unusual to see accusations of price fixing, since I can so easily get steam keys for cheaper. And only times I usually go buy direct from Steam these days is if a company doesn't offer steam keys, so the only way to buy a steam copy is through steam. And prices for games feel like they've been so cheap that it's the one thing I have no complaints about.

[–] [email protected] 1 points 1 year ago

What devs would like to do is push gamers to buy their games on platforms where they get a higher revenue cut. The logic is that 15 dollar game could be 12 dollars on GoG and a dev makes the same amount of money. The issue with this approach is the game theory doesn't work out for the customer - if a customer is willing to buy a game on steam for more money, than the dev has no reason to offer it on another store for less money when they actually have a higher cut of the revenue, and a higher incentive to price higher. There are non-price reasons a customer would like to buy on steam. Cloud syncing, integrity verification, easy steam deck client, and most importantly parity with the rest of their library. So it is very favorable to Valve as long as its the preferred place to buy games.

The issue is that while it is fair for steam to compete on service, it definitely is unfair for them to try to dictate to devs and publishers where they can sell their games and how they price them, especially if it isn't a part of their ToS. You don't get a steam key from GoG, and you aren't using Steam's servers. If Devs get more of the revenue, AND they were theoretically able to achieve more volume on GoG, why would you ever sell your game on steam and give up more revenue? Steam has to compete - which they claim they do, and David is alleging they don't in their suit.

The suit isn't about key reselling.

[–] [email protected] 2 points 1 year ago

It will be interesting to watch the suit unfold. David is claiming that Valve de-facto forces the pricing through the threat of de-listing on steam. So he will need to prove it. We don't see many games sell below steam price, but I do think that there is kind of an incentive for devs to have one consistent price across all retailers. At the end of the day, there is a price customers are willing to pay for a given game, and you don't want to lower it on the platform that give you a higher cut of revenue. It's why it would kind of be silly for Valve to engage in this price fixing behavior, but there are plenty of instances where for-profit companies and employees do silly (and illegal) things, so we will see as this case plays out.

The only way steam falls off is if another store beats them on volume, which also means provides a better customer experience than steam. It's a really tall order - how do you get people to move to your game libary management sytem? The only real way is to have an exclusive game that players can't get on steam. That is the core of EGS - the place where you play fortnite. EGS actually makes a lot of sense as long as epic making the hottest game on earth. Half Life 2 was essentially why Valve was able to launch Steam. The issue is that Fortnite is on the decline and EGS just loses money. I don't know how you make enough money to outdo Valve in the near term.

[–] [email protected] 2 points 1 year ago

I wonder what would be said if isthereanydeals is pulled up as evidence, and shows games listed cheaper than steam on other stores. Pretty much reason a majority of my Steam games have been bought outside of the Steam stores, since I'm able to consistently get the games cheaper with better earlier discounts.

Is it listed retail price that is being talked about as opposed to sale price?

[–] Chobbes 17 points 1 year ago (2 children)

I don’t really know how I feel about steam or valve. I’m kind of nervous about how dominant they are… like it would really suck if they suddenly disappeared or started acting more maliciously. I get why people like the promises from GOG and stuff. But that said… Valve and Steam do so much good stuff and I really respect all of the Linux work they’ve done. I don’t really trust them long term, but they seem to currently be in the position where open platforms benefit them and they’re leaning into that… and that’s actually really cool.

Honestly, the fact that the steam deck isn’t locked down and you can install games from other sources, or even blow away the operating system and put windows on it is kind of incredible and I’m really glad they’ve done things like that. I’m not sure how relevant it would be to these lawsuits, but I feel like the lack of a walled garden gives them a significant brownie point for me. I hope they keep doing awesome stuff like this and don’t completely squander any good will I have towards them.

Regardless, I hope small developers can get a better cut on steam in the future… 30% seems pretty steep. It’s probably worth it for the value that steam adds, but I could see it being juuuust enough that some small game developers can’t quite eek out a living on a niche game.

[–] [email protected] 7 points 1 year ago

We just need to find gamers that match gaben for organ donors and keep him alive forever.

[–] [email protected] 1 points 1 year ago

Steam has a pretty sustainable business model but If steam goes evil, their first step will be going public, until then they can continue making long term decisions. Them going public will be a long enough run way for me to move off the platform at least.

What worries me is gamepass, which is definitely trying to trap users right now, eating steams lunch. They will definitely become complete shit, that's their whole business model.

[–] [email protected] 11 points 1 year ago

I mean, the launcher part of the argument hardly matters anyway. Launchers aren't required to sell games. Its the storefront that matters, but in terms of having an online software store, Valve isn't even that dominant. Even limitting it to just selling games on Windows, while yes, Steam is the go-to, Microsoft (or prehaps more significantly Mojang), Riot games, Blizzard, and Roblox are all massive games that have their own stores (and launchers for that matter). There are also numerous other smaller games with their own pages, and more generalized storefronts that don't require the use of Valve's storefront or launcher such as Itch.io, Humble (they don't just sell Steam Keys), and GOG.

[–] [email protected] 4 points 1 year ago

Even before Origin, EA offered online sales with their EA Downloader app and it was a freaking nightmare. Terrible speeds, and you could only download a game so many times, and any purchases didn't transfer to Origin.

[–] [email protected] 3 points 1 year ago

they literally don’t have a monopoly since they have lots of competitors: epic, ubisoft, ea…

[–] NOT_RICK 1 points 1 year ago (5 children)

hoovers your data

Any way to limit this?

[–] [email protected] 4 points 1 year ago* (last edited 1 year ago) (2 children)

EA is worse with data collection imo. Or at least just as bad.

Steam has always done a little bit of it, particularly their hardware surveys, but even then it's never felt so creepy when they do it.

[–] [email protected] 15 points 1 year ago* (last edited 1 year ago) (2 children)

Steam's hardware survey gathers a narrow set of hardware info, shows you what it finds, and asks permission before sending. It is completely ~~transparent~~ forthcoming and optional. That is not hoovering up your data.

[–] [email protected] 4 points 1 year ago (1 children)

Yeah, the one thing I would say is that you can never be 100% certain what data is being gathered by closed source software, especially if there is an encrypted communication channel. Saying that though, Valve are decently trustworthy.

[–] [email protected] 3 points 1 year ago* (last edited 1 year ago)

Agreed; I would much prefer games and their storefronts to be open-source.

Of what we have today, though, most of Steam's competitors are far worse in this area.

Special nod to GOG, which lets you download games with a web browser. (Does Itch do this, too?)

[–] [email protected] 2 points 1 year ago

And what gives about hardware.
The personal data is the scary stuff.
The payment history, the invested money, browsing history, mouse movement tracking, other programs installed on the pc and so on.

[–] [email protected] 2 points 1 year ago

At least the hardware survey is voluntary.

[–] undeadfoodsnob 3 points 1 year ago

on windows, you can disable the epic games service in the services tab of task manager. it wont stop all the snoop but will limited epic games reach.

I run a bat file on start up to kill a number of services. EA Games and Rockstar games also does this.

[–] [email protected] 2 points 1 year ago (1 children)

Nope.

[–] NOT_RICK 1 points 1 year ago

Well that sucks

[–] [email protected] -2 points 1 year ago* (last edited 1 year ago)

You can leave “share email with (company that owns game you’re buying)” unchecked at checkout

Games on Epic are by default DRM free but game companies can turn DRM on, unfortunately it doesn’t tell you prior to buying the game if you can play it without the launcher or not

Edit: people can correct me instead of downvoting but you should also look at using heroic games launcher. I’m not sure but it should help hide your data

[–] [email protected] 13 points 1 year ago

The "news" is that instead of showing up on a TV screen he has to show up in person.

What a bullshit article.