Sony fighting $2.7 billion UK lawsuit over PlayStation Store prices


FILE PHOTO: The Sony Playstation logo is seen at the Paris Games Week (PGW), a trade fair for video games in Paris, France, November 5, 2023. REUTERS/Claudia Greco/File Photo

LONDON, March 10 (Reuters) - Sony ⁠is fighting a London lawsuit worth almost 2 billion pounds ($2.7 billion) that alleges ⁠the PlayStation maker's "monopoly position" inflated prices for digital games, in the latest mass ‌consumer case to go to trial in Britain.

The Japanese conglomerate is accused of abusing its dominant position by requiring digital games and add-ons for its console to be bought and sold only via its PlayStation Store, making ​prices higher than for physical games.

Sony says it has "invested years ⁠and billions" in an integrated gaming ⁠platform that benefits consumers in a competitive market, where rivals Nintendo and Microsoft's Xbox use similar ⁠models.

Its ‌lawyers also argue the margin Sony earns on sales of games and additional content is not excessive, saying the lawsuit ignores the company's costs and the value ⁠of its brand.

The case, brought at London's Competition Appeal Tribunal (CAT) ​on behalf of around 12 ‌million people in the United Kingdom, is the third against a major tech ⁠company to go ​to trial since the start of 2025.

SONY ACCUSED OF EXCLUDING COMPETITION

Alex Neill, who is leading the case, said in a statement that "gamers have paid too much and they should get some money back". The ⁠case was previously valued at up to 5 billion ​pounds, but has since dropped to 1.97 billion pounds.

Her lawyer Robert Palmer told the tribunal: "Sony can and does set the retail prices ... without facing any retail competition for digital content. It allows it ⁠to obtain monopoly profits from digital distribution."

But Sony, which sold 8 million PlayStation 5 consoles between October and December, says the lawsuit amounts to arguing that third parties should be allowed to set up a store for the PlayStation and "free-ride" on Sony's investments.

Other cases relating to ​app stores are pending. Last year, the CAT ruled against Apple ⁠in relation to its App Store, a decision Apple is seeking to appeal.

A trial of a ​lawsuit against Google is due to begin in October. Fortnite ‌maker Epic Games, which would have been involved ​in that case, withdrew its claim on Monday after Google announced sweeping changes to its Play Store practices.

($1 = 0.7446 pounds)

(Reporting by Sam Tobin. Editing by Mark Potter)

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Tech News

Rhoda AI raises $450 million at $1.7 billion valuation, unveils robot intelligence platform
Elon Musk says X Money to enter early public access next month
Meta acquires AI agent social network Moltbook
Deutsche Bank upgrades US and European tech sector, turns 'overweight' on software
Citigroup raises AI capex and revenue forecasts amid rapid enterprise adoption
Dutch court upholds ruling forcing Meta to offer chronological feeds
US seeks comment on Zoox petition to deploy robotaxis without steering wheels
Amazon targeting $37 billion to $42 billion in bond sale, Bloomberg News reports
Legal AI startup Legora raises $550 million to speed up US expansion
AI startup Thinking Machines clinches capital and a major chip supply deal from Nvidia

Others Also Read