Lose 1 million? You do know there are about 120 countries that cant access the PSN, right? They will lose millions on that alone. Coupled with the expensive prices and the absolute disaster the brand is going through right now and I think Sony is in for a rough time.

But how much is their current revenue share of those 120+ countries with no PSN?

10%? 5%? What's your guess?

I guess 7.3%. Not sure why this matters, but thats my guess.

It matters to the financial impact of Sony's decision.

It also gives Sony the chance/option for some good PR by adding PSN support to a few countries (beginning with those with the highest PS revenue of the unsupported countries).

Well they are going to have to do that in order to sell any consoles at all in those countries. They will still probably lose millions of sales though. Its not just about where Sony will make PSN available, but places where people just dont have stable enough internet connections for a fully digital console.

Reminds me of a cool scene in animatrix.

Sony:
"Your physical games is a relic, a mere memory. Hand over your games, and a new digital only world awaits you. We demand it!"

Then that means Sony will win 

Here's Nintendo embarrassing Sony and Microsoft with strong physical game sales.

Game Key Cards are not physical games, but they are counted as so.

Don't downplay Nintendo being better than PloyStation or Microshaft.