According to Atindriya Bose, country manager of PlayStation India, "PS2 and PSP sales are healthy." However, "the PS3 still has to pick up." The high price of PS3 makes it rather lucrative for buyers to look towards the gray market. The PlayStation Network is also unavailable in India, due to the lack of "required infrastructure." "Many people in India don't have high speed internet connections so if they are trying to download a game over the PSN store they'll have to wait for days together. So, we are still waiting for better infrastructure."
With India becoming an increasing force in the global market, it's understandable Sony wants to get their foot in early. It'll be interesting to see how Sony takes on the unique aspects of the Indian market, and if they're able to translate that into success.