Game Maker Says 40% of iTunes In-App Buys Are Fraud 114
chicksdaddy writes "Hong Kong-based Lakoo, maker of the Empire Online game, says that 4 in 10 in-application purchases by users of the iOS version of its MMORPG are fraudulent, and made through compromised iTunes accounts. But Apple has turned a deaf ear to its requests for help to stop the bogus activity."
Re:If this were a systemic Problem, (Score:3, Informative)
It likely IS a problem but Apple..... like Paypal..... chooses to ignore the abusive, illegal payments. Paypal eventually ended-up before the US DOJ and forced to refund money back to various persons (I got $75). Perhaps the same will happen with Apple in a few years.
Re:If this were a systemic Problem, (Score:2, Informative)
Like, say, the developers of Lugaru HD [slashdot.org]?
Wrong, hope you aren't spreading panic. (Score:4, Informative)
Re:Motivation? (Score:2, Informative)
What seems to be missing here is any sort of motive. Both the game developer and Apple should be worried - running down a competitor's reputation is a fairly poor motive for this, getting refunds doesn't seem to be it, so why are they picking on this app and why are spending other people's money with no hope of retrieving it?
Looks like most of the Empire Online in-app stuff is buying in-game currency. In other words, this is just another bunch of Chinese gold farmers, who likely purchase the currency then offload it to other compromised accounts.
Re:Motivation? (Score:3, Informative)
The motive is financial.
Steps:
1. Compromise account.
2. Buy in game goods with compromised account's Visa, gift cards, or (perhaps) fraudulently generated gift cards.
3. Sell in game goods for real currency.
The reason this particular developer is getting hit the hardest is probably because their game is the current best way to realize profits from a compromised account. For many other apps with in app purchases, it is probably difficult to convert your purchase back into money.
Me too! (Score:1, Informative)
YES DEFINITELY (Score:1, Informative)