erttheking said:
I never got the point of region locking. I mean how does ANYONE benefit? It feels like being a dick for the sake of being a dick.
In this particular case the reason is that region locking in this very specific manner allows people in 3rd world countries to have access to video games at a price they can reasonably afford.
See, digital distribution has changed the rules a lot on how games can be sold profitably. The cost of selling another unit is virtually zero. This means that sellers can adjust their price to the region they sell it in. So if you have some region where people are poor you can sell the game for $5 instead of $60. You don't make a ton of money off of it, but you make something (better than the nothing you were getting before) and these people get to play your game at a reasonable price. It is a win-win.
However, this variable pricing structure is dependent on the fact that people in the rich region must purchase at the rich region price while the people in the poor region can purchase at the poor region price. The company cannot afford to sell their game at the poor region price everywhere or they will not be able to make a profit and they go under.
Now, Steam formerly didn't have this type of region locking. They instead ran on the trust system, trusting everyone to buy the game at the price decided on for their region. However, opportunists took advantage of this system, purchasing game keys in the poor region and then selling them to people in the rich region at a large markup, which is still very cheap for the rich region (300% of $5 is a lot less than $60.)
This eliminates any profit (and more) that would come for serving the poor region, making this a bad business decision. So companies stop offering their games to these poor regions at an adjusted price. These poor regions stop being able to have quality games at reasonable prices. The selfishness and greed of the few turn a win-win into a lose-lose.
So Valve builds region locking into Steam to prevent this sort of abuse of the system. You will notice the locking is very specific - it only applies to keys purchases in a poor region, gifted and then played in a rich region. It is laser targeted to prevent the very specific abuse of the system that leads to companies withdrawing their products from less prosperous regions
This is not Valve being assholes to their customers. This is Valve preventing the asshole rich effectively stealing from the poor.