A 2021 antitrust dispute involving Steam has evolved into a class action lawsuit following a significant legal development. Initially filed by Wolfire Studios and Dark Catt Studios, the case has now been expanded to include “any developers, publishers, or individuals” who adhered to Steam’s 30 percent commission on purchases made since January 28, 2017. This shift follows a court’s approval of a motion for class certification, as reported by GamesIndustry.biz.
Wolfire Games first brought an antitrust lawsuit against Steam’s parent company, Valve, in 2021, citing concerns over its 30 percent cut of sales on its PC platform. Although the original claim was dismissed later that year, Wolfire filed an amended complaint in 2022. The studio argues that Valve exploits its market dominance to impose what it deems an excessively high commission, which it claims harms publishers and consumers by inflating prices and reducing profits.
The plaintiffs allege Valve’s Platform Most Favoured Nations (PMFN) policy creates several anti-competitive effects. These include enabling Valve to charge a supra-competitive commission, limiting competition among game distribution platforms, and hindering the success of rival services. They further contend that these practices violate antitrust laws, including Washington’s Consumer Protection Act, by artificially raising consumer costs and diminishing publishers’ profitability. To address these issues, the lawsuit seeks “class-wide remedies.”
As part of the proceedings, Valve challenged the testimony of Dr. Steven Schwartz, who asserted that Valve controls a majority of the PC gaming market, with a share surpassing all other platforms combined. Valve argued that Schwartz’s analysis relied on flawed methods and requested his findings be dismissed. However, the court rejected Valve’s request, allowing Schwartz’s testimony to remain a part of the case.
With Wolfire and Dark Catt Studios appointed class representatives, the lawsuit now encompasses a broader group of developers and publishers, potentially increasing its impact on the gaming industry. The expanded scope of the case raises critical questions about market practices, competition, and fairness within the PC gaming ecosystem, particularly regarding Steam’s dominant position.