At some point during the crazy "Call of Duty 4 price hike on Steam" debacle, a community member over at Internode Games Network contacted the Australian Competition and Consumer Commission (ACCC) to see if it had anything to say.
Over the weekend, the community member received a response from the body, and Internode Games Network was good enough to post it on its site.
From the story:
The ACCC is not a price setting body for goods and services at either the retail or wholesale levels and has only a limited role in the area of price regulation overall. It does not have a direct role in regulating or setting prices except in the case of products or services that are declared under Part VIIA of the Trade Practices Act 1974 (TPA)*. The ACCC can examine the prices of selected goods and services in the Australian economy, if the Government has declared them.
Long story short - Activision and Steam can do whatever the heck they want.
Government Watchdog checks out Call of Duty 4 Pricing [Internode Games Network]