Videogames are classified as toys under Brazilian tax regulation. As console videogames are, with very few exceptions, imported, they are subjected to the 80% importation tax that was primarily developed as a barrier to Chinese cheap toys.
In the other hand, computers have more reasonable prices and I believe computer games are classified as software. No wonder, up to to a few years ago Brazilian videogame space was totally dominated by PCs whereas consoles were restricted to cheap last generation models to be sold to small kids.
The fact is most PC games are are released by about R$100 (US$ 56), when printed and packed here or R$130-150 (US$73-85), when imported. Console games varies from R$199 (US$112) to R$279 (US$157), most of them in the upper part of the scale. Unnecessary to say that videogames are too expensive, which may be one of the main causes why piracy is so high in Brazil.
Konami installed a branch here only a couple of years ago. It seems that they know their market and by releasing console games in the same price range of their computer counterparts, they may be dominant here very soon. It seems that Blizzard will do the same in Brazil with Starcraft II. I look forward to see the reaction.
