EBay bans auctions of virtual treasures

Don't look on EBay.

Citing "complex legal issues," EBay Inc. has decided to yank auctions of virtual items garnered from popular online games such as "EverQuest" and "World of Warcraft."

"We can't say definitely if it's legal or illegal," EBay spokesman Hani Durzy said. "It's complex. And when something is complex like this, we have a history of disallowing the items."

For years, players of online games have traded unreal goods for real money. The items, which are often difficult to come by, can give players an edge in games.

Buyers can, for example, purchase a pair of Weatherbeaten Shoulderpads for "EverQuest," for $74.99 on ige.com, a site operated by Internet Gaming Entertainment Ltd. in Hong Kong. On another site, uotreasures.com, a Krol Blade for "World of Warcraft" sells for $119.

And on EBay this week a pair of EverQuest game accounts went for auction with an opening bid of $200 before they were taken down.

Researcher Edward Castronova of Indiana University estimated in his book, "Synthetic Worlds: The Business and Culture of Online Games," that more than $100 million changes hands each year for these digital items -- a good portion of it on EBay.

With so much money at stake, disputes over the ownership of these digital bits are getting more heated.

Irvine-based Blizzard Entertainment, publisher of "World of Warcraft," has shut down several hundred thousand game accounts for buying and selling of virtual items, spokesman Shon Damron said.

"We have clearly maintained that all of the content in 'World of Warcraft' is the property of Blizzard," he said. "We do not allow in-game items to be sold for real money."

Nearly all online game publishers take similar positions.

"Our standpoint is that everything in our games is the property of Sony Online Entertainment," said Greg Short, director of Web development at Sony, which publishes "EverQuest."

Even so, Sony decided in 2005 to get into the market by hosting auctions for "EverQuest" items with its Station Exchange service, taking a 10% cut of each transaction.

Business has been brisk. One seller made $37,435 from 351 auctions in the first year of Station Exchange. In total, Sony has brokered $2 million in transactions since launching the service, Short said.

What's being bought and sold, Short said, is the right to use the items.