Highlights
- A £2 bn class action against Sony claims 12.2 m UK PlayStation users were overcharged for digital downloads.
- Sony allegedly charged a 30 per cent margin above wholesale prices .
- Anyone who bought a digital PlayStation game or in-game download over roughly 10 years to February this year could be eligible for compensation.
Opening the case for claimants, Robert Palmer KC told BBC that Sony had "implemented a sustained strategy" to exclude competition over digital distribution by requiring developers to sign contracts agreeing that content would not be distributed outside the official shop without Sony's consent.
Palmer claimed the built-in PlayStation Store was designed to make players a "captive class," with restrictive licence conditions preventing them from obtaining digital content elsewhere.
"Sony can and does set the retail prices of all such content itself without facing any retail competition," he said, adding that Sony obtained "monopoly profits" by setting retail prices at "an excessive and unfair 30 per cent above the level of the digital wholesale prices."
Compensation on the cards
The claimants' legal team estimates 12.2 m users could each receive £162 in compensation if the case succeeds.
The claim is being brought on an "opt-out" basis, meaning eligible consumers will be automatically included without needing to sign up.
Anyone who bought a digital PlayStation game or in-game download over roughly 10 years up to February this year could qualify.
Sony has defended its business model, telling the tribunal that permitting third-party stores would introduce security and privacy risks.
The company also argued that the commission it takes from digital sales is part of a strategy to subsidise the relatively low profit margin on its consoles.
The case follows a similar £2 bn lawsuit against PC games platform Steam on behalf of 14 million users, which was allowed to proceed last month.
In October the Competition Appeal Tribunal found Apple had abused a dominant position by charging developers commissions of up to 30 per cent on App Store purchases — a decision Apple is currently appealing.
