shadrach_au writes to mention that what was being considered in the states is now apparently policy down under: your virtual assets can be taxed. The Australian Tax Office (ATO) is warning citizens to consider whether their gaming 'is a hobby or a business' and act accordingly. From the article: "If a virtual transaction has real world implications — if it can be attributed a monetary value — it attracts the attention of the Tax Office. Sites such as slexchange.com set rates for swapping Second Life's Linden dollars for 'real' money. 'The real world value of a transaction may form part of your taxable income, even if it is in Linden dollars,' the ATO spokeswoman says. 'In addition, there may be GST (goods and services tax) to consider.' In other words, if you are turning over the equivalent of more than $50,000 selling virtual jewelery to Second Life avatars, you must get an ABN (Australian Business Number) and register for GST."

GamesIndustry.biz reports on comments from Sony CFO Nobuyuki Oneda, saying that the company's dip in profits is due to a 'weak' games industry. "Speaking at a news conference, Oneda said that without the battery recall and PS3 costs to contend with, 'We would have been on track with the midterm plan, or more than that. But the game segment is weak and is the major challenge for us now,' he added. PS2 software shipments during the quarter were down by 3 million units to 47 million, but the figure for PSP software rose from 9.9 million to 12.9 million units. PS2 and PSP hardware shipments rose to 5.02 million and 3.89 million respectively. However, both hardware and software sales were down overall, with sales and operating revenue standing at YEN 170.3 billion (EUR )." In other parts of the 'weak' market, Microsoft is hopeful that they'll hit their 10 Million target by the end of the year. If they do, they're going to have to scramble. Current projections put them at 6 Million sales so far.

IntelliAdmin writes "A federal judge refused a request from Take-Two Interactive Software to immediately dismiss some claims in a lawsuit accusing it of selling Grand Theft Auto videogames containing sexually explicit images under the wrong content label." From the article: "Take-Two and its subsidiary, Rockstar Games, had argued in the motion to dismiss parts of the lawsuit that the plaintiffs could only file claims in the states where they resided, not in all 50 states. But U.S. District Judge Shirley Wohl Kram denied Take-Two's motion and said she would reconsider if class-action status were granted in the case."