UK: PLAYSTATION 2'S EXCISE DUTY

Article Abstract:

The arrival of Sony's new games machine Playstation 2 in Britain has hit a problem in the shape of UK Customs and Excise, and the European Commission. Sony wants the machine to be classified as a computer as this would mean a smaller import duty than that on a video games console. To this end, Sony has imbued its product with a lot of computer software, including the computer language Basic, which was used in the 1980's to program home computers. It also has the ability to make fast Internet connections, play DVD's and has a 128-bit processor. However, the European Commission is refusing to see the machine as a computer, saying that it is not significantly different from the original Playstation, and so is placing a 2.2% levy on the import, which could cost Sony millions of pounds. Sony is preparing to take the case to the World Trade Organisation to get the ruling overturned.

Marketing procedures, International Affairs, European Community, Taxes, Marketing, European Union. European Commission, Tax policy

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Sega stumbles on to the Net's 'killer application.'

Article Abstract:

Sega's new Dreamcast games console will have a wide range of features, including a 64-channel sound system. Sega is emphasizing the fact that Dreamcast will include a modem for Internet connection, allowing users to participate in multiplayer games. The Dream Arena website will begin operating when Dreamcast is launched on Oct 14, 1999, but the online gaming facilities will not be available. Sega may find that offering access to the World Wide Web will give it a competitive advantage, even if online games are not available.

Sega Enterprises Ltd.

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UK: SONY TO LAUNCH PLAYSTATION 2

Article Abstract:

Japanese electronics group, Sony, will invite orders for the PlayStation 2 from 7 September 2000 in the UK, with sales of 100,000 expected during the first day alone. The machines will be priced at GB[pound] 299 and the indications are that demand may be four times in excess of the 200,000 units to be made available by 25 December 2000.

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