Sony has agreed to a proposed $7.85 million settlement in a class-action lawsuit alleging it overcharged customers for certain digital games sold through the PlayStation Store.
The settlement, preliminarily approved by a federal court in California, covers users who purchased eligible games between April 1,2019, and Dec 31, 2023.
Plaintiffs alleged Sony “violated federal antitrust law certain state laws,” according to Saveri Law Firm LLP. Sony has denied wrongdoing, and the court has not ruled on the claims.
If approved, compensation would likely come as PlayStation Network account credits rather than cash, according to court filings.
Consumers can remain in the settlement, opt out or object. The deadline to exclude or object is July 2.
The lawsuit focused on Sony’s control over digital games sales on the PlayStation Store. Platintiffs argued that Sony created a monopoly by preventing other retailers from selling digital download codes for PlayStation games. According to the complaint, this allowed the company to keep prices for downloadable games artificially high compared to physical copies sold in store.
The case began after Sony stopped allowing third party retailers such as Amazon, GameStop and Walmart to sell digital PlayStation game codes in 2019. After that change, consumers could only purchase digital PlayStation games directly through Sony’s online store. Plaintiffs claimed the lack of competition forced players to pay more for games and downloadable content than they would in a more competitive market.
Sony denied the accusations and argued that its business practices were legal. the company also stated that the PlayStation store provides convenience, security and access to digital content for millions of users worldwide. While Sony agreed to the settlement, the company said the decision was made to avoid the continued cost and uncertainty of litigation rather than admit fault.
Class action lawsuits involving large technology and gaming companies have become more common in recent years as digital marketplace continue to grow. Companies such as Apple, Google and Epic Games have also faced legal challenges over how their online stores operate and whether they limit competition. Supporters of the lawsuits argue consumers deserve more companies say their systems help protect users and developers.
The lawsuit also brought attention to the growing importance of digital gaming. More players are purchasing games online instead of buying physical copies in store, making digital marketplaces a major part of the gaming industry. Legal disputes over pricing and competition in online stores are expected to continue as companies expand their digital services. The outcome of the Sony case could also influence how other gaming companies handle digital sales and pricing in the future.
If the settlement receives final approval, eligible PlayStation users may automatically receive credits to their PlayStation Network accounts. The amount each person receives will likely depend on how many qualifying purchases they made during the time period covered by the lawsuit. A final approval hearing is expected later this year.
