Gaming

PS4, PS5: Sony Accused of Player Fraud Risks €5.9B Fine

Sony has been sued for nearly 6 billion euros for alleged violation of competition law and abuse of market power to impose unfair terms on publishers and game developers, thereby driving up prices for customers.

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Sony may be sued for $5 billion as allegations of price gouging on digital purchases have been taken to the UK Competition Court of Appeal. Class action lawsuit against the company. She accuses him of “swindling” overpriced customers for digital games and in-app purchases.

The lawsuit, led by consumer rights activist Alex Neil, alleges that Sony is abusing its market dominance by imposing unfair treatment on game developers and publishers, including charging a 30% commission on every purchase of a digital or in-app game on the PlayStation store. This, according to the complaint, will lead to higher prices for consumers.

Sony inflates the price for its customers in the PlayStation Store

“With this lawsuit, I am defending millions of Britons who have been unwittingly overcharged,” Neil said. “We believe that Sony has abused its position and defrauded its customers.” However, be aware that the 30% fee is quite common in the industry as it is also applied by Apple on the Apple Store or Google on the Play Store. Therefore, it is not clear why the complaint is only directed at Sony and not other companies with similar practices. For its part, Google, however, recently reduced its app store fees to just 12% in Europe.

The complaint affects all residents of the UK who have purchased digital games or additional content directly from the PlayStation Store since August 19, 2016 and are eligible for compensation. Without interest, the estimated damage per person appears to be between £67 and £562. In total, customers would have been overpaid by £5bn, or nearly €5.9m.

If Sony loses the lawsuit, the company may have to refund the entire amount to affected customers. Luckily, if you’re in the UK and are a PlayStation user, you don’t have to pay anything to take part in this action. Unfortunately, since no legal action was taken in France, French clients will not be entitled to any financial compensation.

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