FTC Fines Samsung Over GOS Advertising
It was revealed that Samsung Electronics was subjected to a penalty surcharge of about 20 billion won ($15.1 million) after it was found to have advertised while hiding the fact that the maximum performance of its smart devices is restricted immediately upon running high-specification games on the G
Samsung Electronics was fined approximately $15.1 million by the Fair Trade Commission (FTC) for deceptive advertising practices. The penalty was imposed after the FTC discovered that Samsung had advertised its smart devices' maximum performance capabilities while concealing a performance restriction feature. This restriction applied when running high-specification games on devices like the Galaxy S21, S22, and Galaxy Tab S8 series.
The FTC found that Samsung's Game Optimization Service (GOS) reduced the smart device's CPU and graphics processing unit speed to a minimum of 30% during specific high-specification game applications, such as Battlegrounds, Genshin Impact, and Lineage W. This restriction caused screen stuttering and slower performance, leading to numerous consumer complaints and a subsequent lawsuit.
The FTC deemed this lack of transparency in advertising as deceptive practices and imposed a corrective order along with the financial penalty.
Samsung Electronics contested the FTC's decision, arguing that the performance restriction function was an optimization tool aimed at maintaining stable game performance. They explained that the decision to implement this function became more difficult considering the numerous legal proceedings in the domestic and international arena. They also mentioned that they would actively communicate their position through legal channels.
Written by urgent.news from BusinessKorea's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
