Sony Being Sued For £5bn Over PlayStation Store
There are some unscrupulous conglomerates out there, and whether you level your hate at Amazon, Apple, or Facebook, Sony isn't usually caught in the argument... until now. As physical gaming stores and the medium in general are phased out for digital downloads, the likes of Sony and Microsoft are making a killing through their virtual storefronts.
We've all heard about massive PlayStation and Xbox sales where you can grab some old favourites for a fraction of the price, but on the whole, digital storefronts are becoming increasingly pricey when compared to a physical copy. This is baffling when you consider the work that goes into creating an actual game disc, or the fact you can't resell a digital copy.
Why Is Sony Being Sued For £5bn?
Having had enough with being outpriced, a case has been filed with the Competition Appeal Tribunal - wanting to sue Sony for £5bn ($5.9bn). The claim is being led by Alex Neill, who is the ex-managing director of Which UK. According to Sky News, there are nine million claimants, amidst accusations that Sony has "ripped people off" with overpricing on games and in-game purchases through the PlayStation Store.
The case claims that Sony has abused competition law through its power in the market, imposing unfair terms and conditions on developers and publishers. A 30% cut has apparently forced prices up for customers. A class action case is seeking up to £5bn in damages over the past six years. Anyone who has bought content from the PlayStation Store since August 19, 2016, could be entitled to compensation of anywhere between £67 and £562 (excluding interest).
"The game is up for Sony PlayStation," says Neill. He goes on to reiterate he's standing up for the millions who are being ripped off. "Gaming is now the biggest entertainment industry in the UK, ahead of TV, video and music and many vulnerable people rely on gaming for community and connection," added Neill. "The actions of Sony is costing millions of people who can't afford it, particularly when we're in the midst of a cost of living crisis and the consumer purse is being squeezed like never before."
Why Is Sony The Target Of This Case?
Click to enlargeWhether you agree or not, digital storefronts are the future of gaming. There's nothing worse than those who played Elden Ring for a couple of hours, decided it wasn't for them and went to refund it, only to realise they'd passed the threshold. It's clear to see where things are heading, and only recently, there was a grumble that the God of War Ragnarok Collector's Edition comes not with a steelbook but a digital download. Sadly, that physical copy of Bloodborne or BioShock steelbook could be a thing of the past.
If you think you've heard of something similar to Neill's case before, that's because it's an echo of the kickoff between Apple and Epic Games. In June 2020, Apple removed Fortnite from the App Store because Epic came up with its own in-game way of buying V-bucks that bypassed Apple's 30% cut. In fact, a 30% cut is pretty common across the board among Microsoft, Steam, and others. We don't know why Neill has singled out Sony on this one, but let's be honest, he probably plays Xbox.
