Sony PlayStation

2024: Challenges continue: Intel loses mega-contract to produce processors for new PlayStation game consoles

In mid-September 2024, it became known that Intel had lost a major contract for the production of processors for the new PlayStation game consoles. We are talking about the PlayStation 6 consoles, which are being developed by the Japanese company Sony.

Intel's failure is reported by Reuters, citing information received from several knowledgeable sources. Together with Intel in the final of the tender, AMD fought for contact with Sony, which eventually won. It is noted that the loss of the contract was a serious blow to Intel, which is actively developing the contract microchip business. An agreement with Sony would have allowed Intel to generate billions of dollars in revenue, but it was not possible to agree with the Japanese company.

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Earlier, Intel CEO Pat Gelsinger announced his intention to open his own microelectronics division, so the deal with Sony was very important. Usually the sales of Sony game consoles exceed 100 million units in five years. Thus, Intel could get huge revenue from the supply of chips for the PlayStation 6. It is said that Intel has lost a potential income of $30 billion.

According to Reuters sources, the conclusion of an agreement between Sony and Intel was hindered by disputes over what rate of return the latter would receive. The talks between the parties, held in 2022, lasted several months and included meetings between the CEOs of the two companies, dozens of engineers and senior managers. Nevertheless, the companies failed to find a common language. If Intel had won a contract to supply chips for the PlayStation 6, it could have downloaded its contract production for more than five years. It is noted that the new Sony set-top box will appear on the market no earlier than 2027.^[1]

2022

Russians filed a class action lawsuit against Sony for 280 million rubles due to the company's departure from the Russian Federation

In September 2022, the Khoroshevsky District Court of Moscow decided to initiate a civil case on the claim of 28 people against Sony Interactive Entertainment Europe Limited (a division of the company in London) and the Moscow office of Sony. Vedomosti writes about this with reference to the definition of accepting the statement of claim and preparing the case for trial.

According to the document, the defendants were invited to send written objections to the statement of claim by October 31, 2022. On the same date, the pre-trial preparation for the case is scheduled. Until that time, other users who consider their rights violated can join the lawsuit. The plaintiffs demand that Sony resume access to the PlayStation Store and compensate for moral damage in the amount of 280 million rubles.

Russians filed a class action lawsuit against Sony for 280 million rubles

The authors of the complaint justified this amount with the high cost of the game console: they paid at least 119,000 rubles for the PlayStation 5 and hoped to use it for family leisure, but lost this opportunity. Stanislav Isakov, senior lawyer of the dispute resolution and legal support practice of the SSP-Consult (representing the interests of PlayStation players), said that the court should call the defendants at the addresses of both representative offices.

The terms of use of Sony programs and Russian legislation do not provide for a refusal to provide the service "in connection with the internal and foreign policy of the state of location and residence of users," the plaintiffs say. The company's unilateral refusal to provide services violates the rights of users of game consoles and services, Isakov said.

The adoption of a class action lawsuit against Sony for consideration by the court can be considered the "first swallow," after which the number of such disputes will grow, said Stanislav Danilov, partner of the Pen & Paper Bar Association.^[2]

Sony in Russia ordered to pay the client 15 thousand rubles. per month for disabling PlayStation

In June 2022, the Petushinsky District Court of the Vladimir Region satisfied the claim of the owner of the PlayStation 5 due to the disconnection of the PlayStation Store in Russia. The court ordered Sony to replace the plaintiff's console with a "working" one within a week, and if he does not, pay 500 rubles for each day of delay. Since it is most likely impossible to comply with the court's decision, the plaintiff will receive 15,000 rubles per month.

The reason for the lawsuit was the disconnection in Russia of the official online game store PlayStation Store, without which the game console became impossible to use. The company closed access to the electronic store back in March 2022. The PlayStation 5 Digital Edition does not have a drive, so without access to the PlayStation Store, the purchased set-top box is actually a set of useless chips and plastic.

Sony in Russia ordered to pay the client 15 thousand rubles. per month for disabling PlayStation

The owner of PS5 filed a lawsuit against the importer demanding to replace the goods with a similar one, citing a significant drawback, that is, the almost non-working state of the console. Sony Electronics, in turn, stated that she was an improper defendant and referred to the inability to replace the goods.

The court recalled that the Resolution of the Plenum of the Armed Forces of 28.06.2012 No. 17 defines the shortcomings of software for a complex product as a lack of equipment in general. The Consumer Protection Act prescribes that the consumer be able to use the goods for their entire service life or replace them.

According to the publication "Право.ру," this is the first decision on such a lawsuit in the Russian Federation. Earlier, 28 plaintiffs filed a class action lawsuit against Sony Interactive Entertainment Europe Limited (Sony's European division) and Sony's Moscow office demanding that they return access to the PlayStation Store. They also demand compensation for moral damage in the amount of 10 million rubles. for each applicant. Similar lawsuits were filed against Netflix and Apple.^[3]

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