- Sony faces a $457 million lawsuit from Dutch consumers over plans to phase out PS5 physical discs by 2028, fearing higher game prices due to PlayStation Store's 30% commission.
- Eliminating physical discs removes the used game market, undermining Sony's antitrust defense and giving it full control over pricing, which may reduce consumer willingness to pay.
- Analysts note backlash from gamers who value physical copies for resale flexibility, with about 15% of sales still physical, impacting price-sensitive consumers.
- Microsoft's Xbox could benefit from Sony's move by reassuring customers about keeping physical options, but its own restructuring and layoffs complicate seizing the opportunity.
- Both Sony and Xbox are shifting focus to downloadable content (DLC) over new games, changing consumer satisfaction from completing standalone games to ongoing payments.