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{{StubNotice}}
{{ProductCargo
|Company=Microsoft, Sony, Nintendo, Epic Games
|ReleaseYear=2003
|InProduction=Yes
|ArticleType=Service
|Category=Digital storefront, Video games
|Logo=Steam.png
|Website=https://store.steampowered.com
|Description=Online storefront for PC games. Users who "purchase" games own a revocable license, which in return mislead buyers. Data breaches and lawsuits follow.
}}


[[File:Steamforcedagreement.png|thumb|Steam Subscriber Agreement Updated on Sep 26 2024 to mess with arbitration. After people had an issue with not being allowed to own their games, an antitrust lawsuit followed. ]]
'''Steam''' is a digital storefront and service for video-game distribution, operated by [[Valve|Valve Corporation]]. Launched in 2003, it has grown to become the largest digital-distribution platform for PC gaming, with over 130 million monthly active users as of 2024. The platform offers services for [[digital rights management]] (DRM), server hosting, video streaming, and social networking.<ref>[https://www.valvesoftware.com/en/about "At Valve we make games, Steam, and hardware."] ''Valve Corporation''.  2024. Retrieved January 17, 2025.</ref>
Founded in 2004, Steam is a gaming platform owned by [[Valve|Valve Corporation]] where users can purchase games and download them to a computer. Users launch their games through the Steam program and can also stream their games to a mobile device with the Steam app.


== Purchasing Games ==
==Consumer impact summary==
Through the Steam program or the Steam website and mobile app, users can buy games to add to their library. Steam uses a button that says "purchase" when you buy a game, however according to their [https://store.steampowered.com/subscriber_agreement/ subscriber agreement] these games are licensed and not sold. Steam has control of the games you own and can also force you to update or can remove your games at any time.
====Privacy====
== '''Lawsuit Case 2:21-cv-00563-JNW Document 391 Filed 11/26/24''' ==
*Collects extensive personal data, including email, location, payment details, and device information<ref name="privacy-policy">[https://store.steampowered.com/privacy_agreement/ "Privacy Policy Agreement."] ''Steam''. February 14, 2024. Retrieved January 17, 2025.</ref>
This matter comes before the Court on Plaintiff Wolfire Games, LLC, Dark
*Records and stores all user communications through platform features<ref name="privacy-policy" />
*Keeps specific user data indefinitely for "gameplay consistency" even after account deletion<ref name="privacy-policy" />
*Tracks gaming behavior, including preferences, progress, playtime, and device usage<ref name="privacy-policy" />
*Shares user data with game developers and third-party service providers<ref name="privacy-policy" />
*Makes user profile data publicly available through Steamworks API<ref name="privacy-policy" />
*Uses cookies and similar technologies for tracking across websites<ref name="privacy-policy" />
*Retains transaction data for up to 10 years after account closure<ref name="privacy-policy" />


Catt Studios Holdings, Inc., and Dark Catt Studio Interactive LLC’s (together,
====Freedom====
*Users do not own purchased games; they only receive limited licenses<ref name="subscriber-agreement">[https://store.steampowered.com/subscriber_agreement "Steam Subscriber Agreement."] ''Steam''. September 26, 2024. Retrieved January 17, 2025.</ref>
*Can terminate access to paid content at Valve's discretion<ref name="subscriber-agreement" />
*No right to transfer or resell purchased games<ref name="subscriber-agreement" />
*Imposes regional restrictions on game activation and playing via IP address geolocation<ref name="subscriber-agreement" />
*Can unilaterally modify terms with 30-day notice<ref name="subscriber-agreement" />
*Mandatory client updates (sometimes over 100MB) required to launch Steam & access library<ref name="subscriber-agreement" />
*Users must accept all changes to maintain access to purchased content<ref name="subscriber-agreement" />
*No option to opt out of core data collection while using the service<ref name="privacy-policy" />
====Transparency====
*Provides a clear refund policy for games (any game played for less than 2 hours within 14 days)<ref name="subscriber-agreement" />
*It will mainly reference instances where the product prevents inspection or is intentionally confusing.
*Maintains detailed system requirements information for all games (developer-submitted)<ref name="subscriber-agreement" />
*Offers a comprehensive privacy policy in an accessible language<ref name="privacy-policy" />
*Unclear processes for account termination and data removal<ref name="privacy-policy" />
*Limited transparency about content moderation decisions<ref name="subscriber-agreement" />
*Vague about specific data retention timeframes<ref name="privacy-policy" />
*No clear disclosure of recommendation algorithm factors<ref name="privacy-policy" />
====Business model====
Steam makes money from every purchase of games on the platform, with 30% of the sale going to them.<ref>{{Cite web|url=https://www.rockpapershotgun.com/that-lawsuit-against-steams-30-cut-of-game-sales-is-now-a-class-action-meaning-many-other-developers-could-benefit|title=That lawsuit against Steam’s 30% cut of game sales is now a class action, meaning many other developers could benefit|first=Edwin|last=Evans-Thirlwell|date=2024-11-28|work=Rock Paper Shotgun|access-date=2025-08-06|archive-url=https://web.archive.org/web/20250725042630/https://www.rockpapershotgun.com/that-lawsuit-against-steams-30-cut-of-game-sales-is-now-a-class-action-meaning-many-other-developers-could-benefit|archive-date=2025-07-25|url-status=live}}</ref>


“Plaintiffs”) motion for class certification and the appointment of class counsel, Dkt.
====Market control====
As of 2021, Steam has over 132 million players utilizing the service.<ref>{{Cite web|url=https://store.steampowered.com/news/group/4145017/view/3133946090937137590|title=Steam - 2021 Year in Review|work=Steam|date=2022-03-08|access-date=2025-08-06|archive-url=https://web.archive.org/web/20220816161655/https://store.steampowered.com/news/group/4145017/view/3133946090937137590|archive-date=2022-08-16|url-status=live}}</ref>


No. 2561 , and Defendant Valve Corporation’s motion to exclude expert testimony,
==Incidents: ==
===Customer database hack (''Oct. 2011'')===
In October 2011, Valve temporarily closed the Steam Community forums following security-breach concerns. The company later confirmed that hackers had compromised one of its customer databases. The compromised database contained user information, including encrypted credit-card numbers, billing addresses, purchase histories, email addresses, and encrypted passwords for Steam accounts.<ref>Johnson, Casey (November 10, 2011). [https://arstechnica.com/gaming/2011/11/valve-confirms-steam-hack-credit-cards-personal-info-may-be-stolen/ "Valve confirms Steam hack: credit cards, personal info may be stolen"]. ''Ars Technica''. Retrieved January 17, 2025.</ref>


Dkt. No. 321 2 . The Court has considered the papers submitted in support of and
At the time of disclosure, Valve stated they had no evidence that the encrypted credit-card numbers or personally identifying information had been taken, nor was there evidence that the encryption on the credit-card numbers or passwords had been cracked. Nevertheless, they advised users to monitor their credit-card activity and statements as a precautionary measure.


opposition to the motions, and being otherwise fully informed, finds oral argument
===Antitrust ruling: Geo-blocking (''Jan. 2021'')===
On January 20, 2021, the European Commission fined Valve, owner of Steam, €1.6 million for breaching EU antitrust rules by engaging in geo-blocking practices through Steam within the European Economic Area (EEA). Five PC video game publishers have also been fined for engaging with Valve through Steam in geo-blocking practices by "requesting Valve to set up geographical restrictions and to provide geo-blocked Steam activation keys"(EU Commission, 2021). The fines for the publishers were reduced due to the cooperation of the five publishers with the Commission. Valve did not cooperate with the Commission.<ref>Antitrust: Commission fines Valve and five publishers of PC video games € 7.8 million for “geo-blocking” practices. (2021, Jan, 20). ec.europa.eu. Retrieved May 26, 2025, from https://ec.europa.eu/commission/presscorner/detail/en/ip_21_170</ref>


===Modification to terms-of-service (''Sep. 2024'')===
<!-- NOTICE: This is somewhat 'pro-Steam' for incidents intended to highlight things consumers should watch out for. If you feel the need, you may remove this incident. However, please don't replace it with the Wolfire Games class action (Valve won that case). It will take more work and citations to put a substantial incident here than some other services/companies. -->
{{Main|Valve removes arbitration requirement from Steam Subscriber Agreement}}
In September 2024, Steam implemented significant changes to its subscriber agreement that altered user rights and game-ownership terms. Additionally, it removed [[Forced Arbitration|forced arbitration]] from the Steam Subscriber Agreement.<ref>Carpenter, Nicole (September 27, 2024). [https://www.polygon.com/explained/457557/valve-arbitration-steam-subscriber-agreements "Valve removes arbitration from its Steam agreements — here's what that means for you"]. ''Polygon''. Retrieved January 17, 2025.</ref><ref>Rossmann, Louis (September 27, 2024). [https://www.youtube.com/watch?v=1f81qXxggo8 "Steam altered the terms of the sale; you'll be happy they altered it further!"] ''YouTube''. Retrieved January 17, 2025.</ref> Key changes included:
*Enhanced ability to terminate accounts for violations
*Additional data collection and sharing provisions
*Modified dispute resolution procedures


Video games are big business. Early in their history, PC games were
===Valve allows ISPs and payment processors to censor content on Steam (''Jul. 2025'')===
{{Main|Valve allows ISPs and payment processors to censor content on Steam}}
In an update for Steam's Rules and Guidelines for developers,<ref>{{Cite web |title=Steamworks Documentation - Onboarding |url=https://partner.steamgames.com/doc/gettingstarted/onboarding |url-status=live |archive-url=https://web.archive.org/web/20250719092925/https://partner.steamgames.com/doc/gettingstarted/onboarding |archive-date=Jul 19, 2025 |access-date=Jul 19, 2025 |website=Steamworks Documentation}}</ref> a new rule was added within the section detailing what content can not be included on Steam:<blockquote>15. Content that may violate the rules and standards set forth by Steam’s payment processors, related card networks, banks, or internet network providers. In particular, certain kinds of adult-only content are used.</blockquote>This addition was made with pressure from payment processors such as [[Visa]], [[Mastercard]], and [[PayPal]]. Most, if not all, content taken down from the platform was adult in nature <ref>{{Cite news |last=Bonk |first=Lawrence |date=Jul 16, 2025 |title=Steam now bans games that violate the 'rules and standards' of payment processors and banks |url=https://www.engadget.com/gaming/steam-now-bans-games-that-violate-the-rules-and-standards-of-payment-processors-and-banks-164222173.html |access-date=Jul 19, 2025 |work=Engadget}}</ref>however, allowing both payment processors and ISPs to judge whether or not content on the platform can be taken down puts consumer choice at risk. Reportedly, Japanese developers creating "adult-oriented" games were also refused payment via their banks just after this rule change.<ref>{{Cite news |date=Jan 30, 2025 |title=Adult game devs in Japan can’t receive revenue from Steam as Japanese banks reportedly make the “comprehensive decision” to block transfers |url=https://peoplic.com/adult-game-devs-in-japan-cant-receive-revenue-from-steam-as-japanese-banks-reportedly-make-the-comprehensive-decision-to-block-transfers/ |access-date=Jul 19, 2025 |work=peoplic}}</ref>


distributed on physical media and purchased at brick-and-mortar retail locations,
In addition, game developers and consumers have noticed that some content was removed or delisted despite not being 18+ while having LGBT tags or themes. <ref>{{Cite web |last=Gossling |first=Cedric |date=2025-08-01 |title=Steam and Itch.io Delist LGBTQ+ and NSFW Content Following Payment Pressure |url=https://www.gameshub.com/news/news/steam-itchio-delist-lgbtq-nsfw-games-2790936/ |access-date=2025-08-12 |website=Gameshub}}</ref>


but now they’re distributed digitally. Valve, through its Steam Store and Steam
==See also==
*[[itch.io]]


platform (collectively, “Steam”), is the largest distributor in the world, offering over
==References==
{{reflist}}


50,000 titles for sale and play. See, e.g., Dkt. No. 127 ¶ 52. Valve started out
[[Category:Services]]
 
developing its own games, id. ¶¶ 46–54, but it is no longer primarily a developer. Id.
 
It leaves this task to others, ranging from small independent developers to large-
 
scale developers (“AAA” studios) like Electronic Arts and Epic Games. Id. ¶¶ 24,
 
136, 298, 355, 358. Valve then sells and distributes those games to end users
 
through its Steam platform and provides other game-related services. Id. ¶¶ 2, 3.
 
From the end-users’ perspective, the process works like this: A gamer creates
 
a Steam account and buys a video game through the Steam Store.4 Id. ¶¶ 11, 16, 40,
 
49. The gamer then downloads the game, uses Steam to launch it on their computer,
 
 
You can Read The Document [https://storage.courtlistener.com/recap/gov.uscourts.wawd.298754/gov.uscourts.wawd.298754.391.0.pdf Here]
<!-- Ideally we shouldn't just be copy pasting large chunks of legal text, especially not without adequate context -->
 
 
 
== Steam Subscriber Agreement ==
Below is the Steam subscriber agreement that users agree to when obtaining games on Steam.
 
<blockquote>
<p>As a Subscriber you may obtain access to certain services, software and content available to Subscribers or purchase certain Hardware (as defined below) on Steam. The Steam client software and any other software, content, and updates you download or access via Steam, including but not limited to Valve or third-party video games and in-game content, software associated with Hardware and any virtual items you trade, sell or purchase in a Steam Subscription Marketplace are referred to in this Agreement as "Content and Services;" the rights to access and/or use any Content and Services accessible through Steam are referred to in this Agreement as "Subscriptions."</p>
 
<p><nowiki>Each Subscription allows you to access particular Content and Services. Some Subscriptions may impose additional terms specific to that Subscription ("Subscription Terms") (for example, an end user license agreement specific to a particular game, or terms of use specific to a particular product or feature of Steam). Also, additional terms (for example, payment and billing procedures) may be posted on http://www.steampowered.com or within the Steam service ("Rules of Use"). Rules of Use include the Steam Online Conduct Rules http://steampowered.com/index.php?area=online_conduct and the Steam Refund Policy http://store.steampowered.com/steam_refunds. The Subscription Terms, the Rules of Use, and the Valve Privacy Policy (which can be found at http://www.valvesoftware.com/privacy.htm) are binding on you once you indicate your acceptance of them or of this Agreement, or otherwise become bound by them as described in Section 8 (Amendments to this Agreement).</nowiki></p>
</blockquote>
 
----
 
<blockquote>
Steam and your Subscription(s) require the download and installation of Content and Services onto your computer. Valve hereby grants, and you accept, a non-exclusive license and right, to use the Content and Services for your personal, non-commercial use (except where commercial use is expressly allowed herein or in the applicable Subscription Terms). This license ends upon termination of (a) this Agreement or (b) a Subscription that includes the license. The Content and Services are licensed, not sold. Your license confers no title or ownership in the Content and Services. To make use of the Content and Services, you must have a Steam Account and you may be required to be running the Steam client and maintaining a connection to the Internet.
</blockquote>
 
- ''Steam Subscriber Agreement''.
 
[[File:Steam Subscriber Agreement.png|thumb|The Steam subscriber agreement excerpt]]
[[File:Steam purchase screen.png|thumb|Steam purchase button]]
Purchases are referred to as content and services is licensed to users, not sold.
[[Category:Valve Corporation]]
[[Category:Valve Corporation]]

Latest revision as of 00:41, 28 August 2025

Steam
Basic Information
Release Year 2003
Product Type Digital storefront, Video games
In Production Yes
Official Website https://store.steampowered.com

Steam is a digital storefront and service for video-game distribution, operated by Valve Corporation. Launched in 2003, it has grown to become the largest digital-distribution platform for PC gaming, with over 130 million monthly active users as of 2024. The platform offers services for digital rights management (DRM), server hosting, video streaming, and social networking.[1]

Consumer impact summary[edit | edit source]

Privacy[edit | edit source]

  • Collects extensive personal data, including email, location, payment details, and device information[2]
  • Records and stores all user communications through platform features[2]
  • Keeps specific user data indefinitely for "gameplay consistency" even after account deletion[2]
  • Tracks gaming behavior, including preferences, progress, playtime, and device usage[2]
  • Shares user data with game developers and third-party service providers[2]
  • Makes user profile data publicly available through Steamworks API[2]
  • Uses cookies and similar technologies for tracking across websites[2]
  • Retains transaction data for up to 10 years after account closure[2]

Freedom[edit | edit source]

  • Users do not own purchased games; they only receive limited licenses[3]
  • Can terminate access to paid content at Valve's discretion[3]
  • No right to transfer or resell purchased games[3]
  • Imposes regional restrictions on game activation and playing via IP address geolocation[3]
  • Can unilaterally modify terms with 30-day notice[3]
  • Mandatory client updates (sometimes over 100MB) required to launch Steam & access library[3]
  • Users must accept all changes to maintain access to purchased content[3]
  • No option to opt out of core data collection while using the service[2]

Transparency[edit | edit source]

  • Provides a clear refund policy for games (any game played for less than 2 hours within 14 days)[3]
  • It will mainly reference instances where the product prevents inspection or is intentionally confusing.
  • Maintains detailed system requirements information for all games (developer-submitted)[3]
  • Offers a comprehensive privacy policy in an accessible language[2]
  • Unclear processes for account termination and data removal[2]
  • Limited transparency about content moderation decisions[3]
  • Vague about specific data retention timeframes[2]
  • No clear disclosure of recommendation algorithm factors[2]

Business model[edit | edit source]

Steam makes money from every purchase of games on the platform, with 30% of the sale going to them.[4]

Market control[edit | edit source]

As of 2021, Steam has over 132 million players utilizing the service.[5]

Incidents:[edit | edit source]

Customer database hack (Oct. 2011)[edit | edit source]

In October 2011, Valve temporarily closed the Steam Community forums following security-breach concerns. The company later confirmed that hackers had compromised one of its customer databases. The compromised database contained user information, including encrypted credit-card numbers, billing addresses, purchase histories, email addresses, and encrypted passwords for Steam accounts.[6]

At the time of disclosure, Valve stated they had no evidence that the encrypted credit-card numbers or personally identifying information had been taken, nor was there evidence that the encryption on the credit-card numbers or passwords had been cracked. Nevertheless, they advised users to monitor their credit-card activity and statements as a precautionary measure.

Antitrust ruling: Geo-blocking (Jan. 2021)[edit | edit source]

On January 20, 2021, the European Commission fined Valve, owner of Steam, €1.6 million for breaching EU antitrust rules by engaging in geo-blocking practices through Steam within the European Economic Area (EEA). Five PC video game publishers have also been fined for engaging with Valve through Steam in geo-blocking practices by "requesting Valve to set up geographical restrictions and to provide geo-blocked Steam activation keys"(EU Commission, 2021). The fines for the publishers were reduced due to the cooperation of the five publishers with the Commission. Valve did not cooperate with the Commission.[7]

Modification to terms-of-service (Sep. 2024)[edit | edit source]

Main article: Valve removes arbitration requirement from Steam Subscriber Agreement

In September 2024, Steam implemented significant changes to its subscriber agreement that altered user rights and game-ownership terms. Additionally, it removed forced arbitration from the Steam Subscriber Agreement.[8][9] Key changes included:

  • Enhanced ability to terminate accounts for violations
  • Additional data collection and sharing provisions
  • Modified dispute resolution procedures

Valve allows ISPs and payment processors to censor content on Steam (Jul. 2025)[edit | edit source]

Main article: Valve allows ISPs and payment processors to censor content on Steam

In an update for Steam's Rules and Guidelines for developers,[10] a new rule was added within the section detailing what content can not be included on Steam:

15. Content that may violate the rules and standards set forth by Steam’s payment processors, related card networks, banks, or internet network providers. In particular, certain kinds of adult-only content are used.

This addition was made with pressure from payment processors such as Visa, Mastercard, and PayPal. Most, if not all, content taken down from the platform was adult in nature [11]however, allowing both payment processors and ISPs to judge whether or not content on the platform can be taken down puts consumer choice at risk. Reportedly, Japanese developers creating "adult-oriented" games were also refused payment via their banks just after this rule change.[12]

In addition, game developers and consumers have noticed that some content was removed or delisted despite not being 18+ while having LGBT tags or themes. [13]

See also[edit | edit source]

References[edit | edit source]

  1. ↑ "At Valve we make games, Steam, and hardware." Valve Corporation. 2024. Retrieved January 17, 2025.
  2. ↑ 2.00 2.01 2.02 2.03 2.04 2.05 2.06 2.07 2.08 2.09 2.10 2.11 2.12 "Privacy Policy Agreement." Steam. February 14, 2024. Retrieved January 17, 2025.
  3. ↑ 3.00 3.01 3.02 3.03 3.04 3.05 3.06 3.07 3.08 3.09 "Steam Subscriber Agreement." Steam. September 26, 2024. Retrieved January 17, 2025.
  4. ↑ Evans-Thirlwell, Edwin (2024-11-28). "That lawsuit against Steam's 30% cut of game sales is now a class action, meaning many other developers could benefit". Rock Paper Shotgun. Archived from the original on 2025-07-25. Retrieved 2025-08-06.
  5. ↑ "Steam - 2021 Year in Review". Steam. 2022-03-08. Archived from the original on 2022-08-16. Retrieved 2025-08-06.
  6. ↑ Johnson, Casey (November 10, 2011). "Valve confirms Steam hack: credit cards, personal info may be stolen". Ars Technica. Retrieved January 17, 2025.
  7. ↑ Antitrust: Commission fines Valve and five publishers of PC video games € 7.8 million for “geo-blocking” practices. (2021, Jan, 20). ec.europa.eu. Retrieved May 26, 2025, from https://ec.europa.eu/commission/presscorner/detail/en/ip_21_170
  8. ↑ Carpenter, Nicole (September 27, 2024). "Valve removes arbitration from its Steam agreements — here's what that means for you". Polygon. Retrieved January 17, 2025.
  9. ↑ Rossmann, Louis (September 27, 2024). "Steam altered the terms of the sale; you'll be happy they altered it further!" YouTube. Retrieved January 17, 2025.
  10. ↑ "Steamworks Documentation - Onboarding". Steamworks Documentation. Archived from the original on Jul 19, 2025. Retrieved Jul 19, 2025.
  11. ↑ Bonk, Lawrence (Jul 16, 2025). "Steam now bans games that violate the 'rules and standards' of payment processors and banks". Engadget. Retrieved Jul 19, 2025.
  12. ↑ "Adult game devs in Japan can't receive revenue from Steam as Japanese banks reportedly make the "comprehensive decision" to block transfers". peoplic. Jan 30, 2025. Retrieved Jul 19, 2025.
  13. ↑ Gossling, Cedric (2025-08-01). "Steam and Itch.io Delist LGBTQ+ and NSFW Content Following Payment Pressure". Gameshub. Retrieved 2025-08-12.
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