Why Sony is facing £2B class action lawsuit in UK

Sony is preparing to defend against a £2 billion class action lawsuit in the UK, initiated by consumer advocate Alex Neill on behalf of approximately 12.2 million PlayStation users. The lawsuit claims that Sony imposed “excessive and unfair” charges for digital downloads from the PlayStation Store and restricted competition by preventing alternative download systems and imposing a 30% commission on developers, which was then passed on to consumers.

Sony defends its practices by arguing that allowing third-party download stores would create security and privacy risks, and that its commission structure is a cross-subsidization strategy to offset the low margins on console sales. This case mirrors recent lawsuits against Apple, where the Competition Appeal Tribunal ruled that Apple abused its market position with App Store commissions; Apple is currently appealing that decision.

If successful, the lawsuit could result in payouts of around £162 per claimant, plus 8% interest, for those who purchased digital PlayStation games or in-game content in the last decade. The trial is scheduled to begin on March 10th.

(Source：Newsbytes)