Newegg Reveals Its Lottery System to Combat Bots And Scalpers
The online retailer is attempting to even the playing field for consumers who can't compete against an army of bots buying up all PS5 and Xbox Series X/S console stock.
Scalpers utilizing armies of bots to instantly purchase high-demand hardware have become a scourge online, and e-retailer Newegg is attempting to solve that problem by rolling out a lottery system.
Called Newegg Shuffle, the feature randomly chooses consumers who have an account to pick an item that they'd like to purchase on the website. If successfully chosen, the customer will then be notified by email and they'll have a three-hour window to complete the purchase.
"Recent industry-wide scarcity of certain products illuminated the need for Newegg to take a more aggressive stance to weed out bots and place everyone on equal footing," said Newegg's chief technology officer Montaque Hou in a statement. "Our Newegg Shuffle is an important step forward in getting newly released, in-demand products into the hands of gamers and other end users in the most equitable way possible."
Items such as Nvidia GeForce RTX 30 Series GPUs, AMD Ryzen 5000 Series desktop processors, AMD Radeon RX 6000 Series graphics cards, PlayStation 5, and Xbox Series X/S consoles have been particularly hard hit by scalpers, who have capitalized on a global semiconductor chip shortage and resold these devices for a huge profit.
The situation has become so detrimental to a wide range of industries, that President Joe Biden has launched an investigation into how it can be resolved. Id Software co-founder John Carmack has also proposed his own idea to stop scalpers, suggesting that console manufacturers auction off the hardware in a bid to stop resellers from being able to make any profit.