PlayStation 4 in China: Why Sony is willing to put up with piracy, the gray market, and communist red tape

As it stands now, Sony leads the next-generation console race with its PlayStation 4, with worldwide lifetime sales of 18.5 million consoles after only 14 months. The Japanese publisher is making its stand for the newest generation of consoles in a market that is expected to make $88 billion in revenues in 2015. Despite two great holiday months and a nice discount, Microsoft’s Xbox One trails, with estimates coming in at 11 million systems sold. But Microsoft was first out of the gate to jump on a huge opportunity to gain market share: China.

This time last year, China opened its market to foreign-made gaming consoles, effectively ending a 14-year ban. Under China’s new trade initiatives, sales may take place in the Shanghai Free-Trade Zone, a new test bed for economic growth. The door is now open for the first time for Sony, Microsoft, and Nintendo to get in on the fastest-growing gaming market in the world.