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Sony sued $8.5 billion for overcharging customers

Sony was sued in a class-action lawsuit by UK residents for $8.5 billion due to “overcharging” on purchases made via the PlayStation Store.

Sony Paying Developers to Avoid Rivals, Claims Microsoft

Sony has been sued in the UK to the tune of $A8.5 billion in a class-action lawsuit due to accusations that it “ripped people off” by overcharging on games and in-game microtransactions.

First reported by Sky News, the lawsuit was brought to bear by Alex Neill, a consumer-rights advocate.

The lawsuit accuses Sony of violating competition law and abusing its market share status to mandate terms and conditions on developers and publishers considered to be unfair.

“With this legal action I am standing up for the millions of UK people who have been unwittingly overcharged,” he said.

“We believe Sony has abused its position and ripped off its customers. Gaming is now the biggest entertainment industry in the UK, ahead of TV, video and music and many vulnerable people rely on gaming for community and connection.

“The actions of Sony is costing millions of people who can’t afford it, particularly when we’re in the midst of a cost of living crisis and the consumer purse is being squeezed like never before.”

All online purchases from UK residents are alleged to have been marked up 30%. Picture: Sony
All online purchases from UK residents are alleged to have been marked up 30%. Picture: Sony

Allegedly, Sony charged a 30 per cent commission on every digital game and in-game purchase made via the PlayStation Store, resulting in nearly $A8.5 billion in overspending by consumers, according to the lawsuit.

While limited in scope to only UK residents, the lawsuit was filed with the UK’s Competition Appeal Tribunal to include any UK resident who purchased something from the PlayStation Store since August 2016.

Anyone who meets those requirements is possibly entitled to compensation when split up per individual in the lawsuit, which will amount to approximately $114 to nearly $1000.

Sony has been in the news a fair amount recently. In a court filing in Brazil, Microsoft accused Sony of paying developers to avoid rival platforms, such as Xbox Game Pass. This came as a result of Sony claiming that it sees no way to compete with Call of Duty, which Microsoft hopes to acquire in the Activision Blizzard merger.

Written by Junior Miyai on behalf of GLHF.

Original URL: https://www.news.com.au/technology/gaming/sony-sued-85-billion-for-overcharging-customers/news-story/62cfc203d7ef98104f4023015cfa1623