Frankly, that argument can be said backwards. Back in the PS1/PS2 days, there wasn't as much scrutiny of this issue, and there was no PR disaster. A large part of the Red Ring fiasco was blogs, sites, and social networking getting the information out there.
Sony didn't need to treat their costumers better because they were under little pressure to do so. Now, if MS was in the same condition I totally agree with you they would probably have the same crappy attitude that Sony had.
But that doesn't excuse Sony, or change the fact that relevant "Red Ring fiascos" have existed before, they just didn't get the coverage that the 360 one (rightly) did.
As far as the japanese, yes, I agree. But (and I may be wrong, since I don't live in japan), I doubt that's the #1 reason. I still think they just see it as a western console with western games, from a corporation with much less tradition in videogaming, and just don't trust it.
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