Latest news with #Massaschade&Consument


Arabian Post
16 hours ago
- Business
- Arabian Post
Sony Sued Over ‘Sony Tax' in Digital‑Only PlayStation Market
Dutch courts are set to rule on a class‑action lawsuit brought by Stichting Massaschade & Consument, which claims Sony has leveraged its dominance in the PlayStation ecosystem to impose inflated digital pricing, burdening an estimated 1.7 million gamers and costing consumers at least €435 million since 2013. At the heart of the case is the allegation that digital editions of games—often bought via diskless PS5 consoles—are around 47 per cent more expensive than their physical counterparts, despite significantly lower distribution costs. The Massaschade & Consument foundation launched its 'Fair PlayStation' campaign in February, rapidly attracting over 20,000 petition signatures seeking compensation for affected gamers. The petition argues that Sony's closed‑shop approach—barring third‑party game sellers and app stores from its platform—amounts to monopolistic practice, enabling price manipulation without competitive pressure. Foundation chair Lucia Melcherts highlights the shift towards digital consoles: 'Many people notice that they are increasingly being pushed towards 'digital‑only' consoles … consumers pay an average of 47 % more for these digital versions than for exactly the same game on a physical disc'. The legal filing contends that Sony reaps more than double the profit on digital sales compared to retail copies, even though digital distribution should cost less. ADVERTISEMENT Data from the Netherlands indicates that more than 80 per cent of console gamers own a PlayStation, illustrating the company's extensive control over the local market. This dominance allows Sony to 'make decisions without having to worry much about what competitors, developers or consumers are doing,' says Melcherts. Industry analysis points out that while Sony exclusively controls pricing on its digital storefront, physical game retailers—such as bricks‑and‑mortar or online shops—compete on price, often discounting titles to capture market share. By contrast, diskless PS5 owners are locked into Sony's pricing model, facing limited or no alternatives. Legal observers note the case will challenge whether Dutch courts will accept jurisdiction and allow the suit to proceed to its substance. The first hearing is expected later this year, where the court will assess the foundation's standing and the validity of its antitrust claims. If the suit is admitted and successful, it could pave the way for consumer restitution and potentially force Sony to open its digital marketplace—though the foundation itself accepts that this level of structural change may be unlikely. Gamers in the Netherlands have expressed growing frustration at Pay‑to‑own models for digital content that offer no resale value or price competition. Reddit users have decried the practice, stating: 'Sony is abusing their market share to increase digital prices by nearly 50 %'. The lawsuit comes amid broader regulatory scrutiny of platform operators in areas such as app‑store commissions and loot‑box gambling classifications. It marks the latest legal effort to hold tech companies accountable for pricing power over essential digital ecosystems.
Yahoo
20-02-2025
- Business
- Yahoo
Sony Sued Over PS Store Prices Again
Dutch consumer foundation Massaschade & Consument has filed a lawsuit against . Similarly to lawsuits the company faced in other countries, this is due to the company restricting digital game purchases from third party retailers and creating 'artificially high prices.' This news comes from Dutch outlet Tweakers (translated by VibrantStorm on ResetEra) in which the foundation claims SIE is abusing the market for its digital games. PlayStation games are only available digitally through the PS Store and cannot be purchased via a code from a third-party retailer, which can be done for platforms like Nintendo Switch and Xbox Series X|S. The foundation's research found that this has allowed the company to sell digital games at an average of 47% more than its physical releases. 'According to the foundation's research, digital games cost an average of 47% more than their physical counterparts, despite Sony having lower distribution costs,' reads the translated article. 'The organization argues that the closed ecosystem of the PlayStation Store, combined with Sony's dominant position in the console market, results in what it calls 'artificially high prices.' 'Dutch PlayStation users who have made purchases in the PlayStation Store can join the collective claim for free,' continues the article. 'The first court hearing is expected later this year. If the claim is upheld, Sony could potentially be forced to open its digital marketplace to other sellers.' As mentioned in the article, the company faces lawsuits in other countries including Portugal and the United Kingdom. The U.K. Competition Appeals Court greenlit its case as market dominant companies like Sony must ensure fair competition under law. The company previously faced a similar lawsuit in the United States as well. Will Sony finally be forced to allow other sellers sell digital copies of its games? We'll just have to wait and see. The post Sony Sued Over PS Store Prices Again appeared first on PlayStation LifeStyle.