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Misleading ads for digital goods will soon be illegal

The news: California Governor Gavin Newsom has signed a law requiring digital sellers to clarify that consumers are licensing, rather than owning, digital products like games, movies, music, and ebooks.

  • The law, which takes effect in 2025, prohibits digital storefronts from using terms like “buy” or "purchase" unless they also inform customers of any limitations or potential loss of access to the product, according to The Verge.
  • The legislation aims address concerns over disappearing digital media, where consumers who believe they’ve purchased a product later find themselves without access. This is a particularly important issue in the gaming industry.

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