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Kids Go On Expensive Buying Sprees In iPhone Games

PETER SVENSSON   12/ 9/10 03:11 PM ET   AP

Iphone Kid

NEW YORK — "The Smurfs' Village," a game for the iPhone and other Apple gadgets, was released a month ago and quickly became the highest-grossing application in the iTunes store. Yet it's free to download.

So where does the money come from? Kelly Rummelhart of Gridley, Calif., has part of the answer. Her 4-year-old son was using her iPad to play the game and racked up $66.88 in charges on her credit card without knowing what he was doing.

Rummelhart had no idea that it was possible to buy things – buy them with real money – inside the game. In this case, her son bought one bushel and 11 buckets of "Smurfberries," tokens that speed up gameplay.

"Really, my biggest concern was them scratching the screen. Never in my wildest dreams did I think they would be charging things on it," the 36-year-old mother said.

She counts herself lucky that her son didn't start tapping on another purchase button, like the "wheelbarrow" of Smurfberries for $59.99.

Rummelhart joins a number of parents who have been horrified by purchases of Smurfberries and other virtual items in top App Store games. The 17 highest-rated comments on "The Smurfs' Village" in the App Store all complain about the high cost of the Smurfberries, and two commenters call it a "scam."

Apple introduced "in-app purchases" last year, letting developers use the iTunes billing system to sell items and add-ons in their games and applications.

This year, developers have started to use the system in earnest as the main revenue stream for many games. Of the 10 highest-grossing apps in the App Store, six are games that are free to download but allow in-app purchases. Four of those are easy, child-friendly games. Two of them, "Tap Zoo" and "Bakery Story," have buttons for in-app purchases of $100 in just two taps.

Capcom Entertainment Inc., the publisher of "The Smurfs' Village," says inadvertent purchases by children are "lamentable." When it realized what was happening, it added a warning about the option of in-app purchases to the game's description in the App Store, and it's updating the game to include warnings inside it as well. The game has retreated to being the fourth-highest-grossing app in the App Store.

The warnings may alert parents, but it's doubtful that they'd deter children who can't read and don't understand money. Also, the option to buy $59.99 worth of Smurfberries at a time remains. Capcom spokesman Michael Larson says "Smurfs" is no different from other games in this regard, and the bulk purchasing option is useful to adult "power players."

It's quite likely that most of the money pulled in by these games comes from addicted adults who want to quickly build their Smurf villages, bakeries, zoos and zombie farms. But there's a loophole in the in-app purchase process that children stick their fingers through.

Usually, the purchases require the owner of the device to enter his or her iTunes password. But there is no password challenge if the owner has entered the password in the last 15 minutes for any reason. That means that if a user enters the password for a purchase or a free app upgrade, then hands the phone or iPad over to a kid, the child will not be stopped by a password prompt.

Capcom and other game publishers have no control over the 15-minute password-free period, which is set by Apple.

Apple defends its system. Spokeswoman Trudy Muller says the password system is adequate and points out that parents can restrict in-app purchases. The parents contacted for the story received refunds from Apple after complaining, and praised the company's responsiveness.

However, there's reason to believe that the password timeout doesn't always work.

Andrew Butterworth of Brooklin, Ontario, was well aware of how in-app purchases work and of the password-free period. He was careful to let at least 15 minutes pass after a password entry before letting his 5-year-old son play with his iPod Touch. That didn't help, once he'd loaded "The Smurfs' Village."

"He came to me all proud and said he'd figured out a way to get all these Smurfberries," Butterworth says. "And as soon as I saw the Smurfberries, I knew that he'd purchased them using my credit card. I was amazed that he'd figured out a way to do it, because I was sure that he would have needed my password."

He had last entered his password on the iPod four or five hours earlier, he said. His son's shopping spree cost $140.

Chris Gropp, another Canadian, said he had not entered his iTunes password the same day his son bought $67 in Smurfberries, apparently without being asked for the password.

TeamLava LLC, the publisher of "Bakery Story" and "Farm Story," says the games follow all of Apple's rules and restrictions. In either game, it's possible to buy $99.99 worth of "gems" in one go.

The game publishers and Apple point out that device owners can turn off the option to conduct in-app purchases by going to the Settings app, then hitting the General button, then the Restrictions option. The parents contacted for the story had done so after being alerted to the purchases through their iTunes billing statements.

Apple takes requests for refunds through the computer version of the iTunes program. In the "Store" menu, chose "View my account," then click "Purchase History," then "Report a Problem." Then click on the problem purchase.

Butterworth was pleased with the refund, but still thinks "Smurfs" is a "scam."

"They make it a ridiculously difficult game to play, and you can skip all the difficult parts by spending money," he said. "I believe that they know exactly what's going on."

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NEW YORK — "The Smurfs' Village," a game for the iPhone and other Apple gadgets, was released a month ago and quickly became the highest-grossing application in the iTunes store. Yet it's free t...
NEW YORK — "The Smurfs' Village," a game for the iPhone and other Apple gadgets, was released a month ago and quickly became the highest-grossing application in the iTunes store. Yet it's free t...
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HUFFPOST SUPER USER
MikeyJaii
Socialism.
02:33 AM on 12/27/2010
That's what happen when you LET companies take advantage of you. Just like VERIZON, they like putting hidden charges into your bills. Be outraged and fight back because that's the only way they'll back down.
01:45 PM on 12/11/2010
It's a shame to hear of respected companies using tactics like this to profit. Hopefully consumer outrage will get them to change this purchase structure. We develop Software Applications and would never look to profit on unintended purchases.

Brett Miller
http://www.customsoftwarebypreston.com/android-iphone-ipad
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LightShadow62
The answers are not found in the extremes
03:57 PM on 12/10/2010
More revenue for Apple using hidden charges. What a scam.
03:15 PM on 12/10/2010
I don't think making a good free game riduculously hard to play in sections is a scam. Basically it's a disabled demo verision.
03:25 AM on 12/10/2010
I don't think there is a good reason for the 4 year-old child to pay the iPad or any other devices.

WinPST Share Outlook~~
07:47 PM on 12/09/2010
Sorry, I cannot get past the whole leaving a four year old with an iPad...
04:57 PM on 12/09/2010
Sorry, but I have no pity on any person who allows their 4 year old to 'play' with an iPad or any other device. In my opinion, kids that age do not need to be on a computer, iPad or any other electronic device. Kids will press anything that is eyecatching and appealing to their senses. She walked herself into that bill!

Surely in this day and age parents should try and help their kids be kids - playing with toys, running around and doing kid things. We wonder why the world is the way it is and this is just the start of what is to come. PEOPLE look around you, these kids are the future - lets help them make it a better one for all.
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HUFFPOST SUPER USER
LePapillonBleu
04:02 PM on 12/09/2010
Be warned. Tap Fish has the same option. We found out the hard way but luckily my daughter had only charged a few dollars.
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SF TKF
Cthulhu thinks you'd make a nice sandwich.
02:32 PM on 12/09/2010
How bought you buy your kid a book instead of a game ap?
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HUFFPOST SUPER USER
Skaterx999
12:42 PM on 12/12/2010
How about we live in a world that has both?
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HUFFPOST SUPER USER
clsmithj
Wanna Raise Some Hell
11:37 AM on 12/09/2010
games the require you to use real money to by items in a game is NOT a game in my opinion.

Ditch the iphone and get a real game handheld DS or PSP.
12:21 PM on 12/09/2010
agreed,,,,,,, I'm sure making it so easy for a child to spend real money in the game was purely accidental.
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HUFFPOST SUPER USER
Michael Johnson 1
08:44 PM on 12/12/2010
Well, you don't NEED to buy them, but you can if you don't want to grind your way to all those berries. Besides, All the companies do it now where if you want this add-on, you have to pay all this money, but not nearly as much as 60 bucks for in-game currency or anything.
11:13 AM on 12/09/2010
Restricting in-app purchases is not the responsibility of the game maker or Apple. It falls only on the parent! I have 4 and 6 year old boys who would love to know my password so they can buy a game. I taught them to look for the word FREE, so if they go to the App Store they would look for free games only - it worked. Technology is great for kids, it helps with many things, but given an open/non-restricted devise to a child is not responsible parenting. For some, the iPhone, iPod and IPad have turned in to the "babysitter" that used to be the TV.
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HUFFPOST SUPER USER
xmasboy
11:36 AM on 12/09/2010
I'm with you. I have two kids with iPod Touches and as part of parental responsibility I set parental controls, blocks on content and blocked in app purchases before they ever got to touch them.
11:08 AM on 12/09/2010
She got smurfed
11:02 AM on 12/09/2010
That's how company makes money.
It's all business and profit!

Otherwise don't let your stupid kid plays it!
Blame yourself!
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HUFFPOST SUPER USER
Amit Nagpal
10:59 AM on 12/09/2010
This is the first i am hearing of it so thank you huffington post.. it certainly does sound like a spam. i'll be more careful now when my nephews are tossing around my ipad and iphone.
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Sky Tripp
33 yo gay married hippy dude
10:32 AM on 12/09/2010
this is unbelievable and again there is apple not taking blame!!! I never heard of it before thanks HP. will deffinattly be telling "i" connected friends!!