The accounts are so important that you’re willing to lose sales in that many countries?!

While 177 countries sounds like a lot, it's not where the majority of players are. PSN operates in the top 15 countries by GDP and the top 4 by population.

Of course there's still the question of why they work in so few countries when literally none of their competitors (that I know of) have those limitations.

I don’t doubt what you’re saying, but you have to admit that this is terrible PR for them.