Senator Wyden Urges FTC to Mandate Transparency in Digital Purchases

The senator's letter calls for clear disclosure of digital ownership rights to protect consumers from misleading practices.

Senator Ron Wyden has requested the FTC to issue guidelines ensuring consumers understand the terms of digital purchases, including whether they are buying or licensing content.
The letter highlights that digital goods often lack the ownership rights associated with physical purchases, such as the ability to resell or transfer items.
Wyden cited examples of consumers losing access to purchased digital content, such as Sony's handling of Discovery Channel and anime titles, as evidence of the problem.
California recently passed a law requiring online stores to disclose when digital products are licensed rather than owned, prompting similar calls for federal action.
The senator emphasized the need for transparency at the point of sale, urging companies to clearly communicate restrictions like license duration and revocation conditions.