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Gaming industry in decline?

Posted on Sunday, 27 April 2008 by Speed, source: MCV
While we constantly hear news about billions of profits and the industry's continuous growth, a recent IDG research paper shows a different picture: the core gaming market has saturated and could even go downhill.

The paper states that overall the current consoles are on par with the previous generation but if you take out Nintendo's DS and Wii there's even a decline. Most of the growth of the industry over the last couple of years is thanks to Nintendo with its Wii and DS platforms.

The middling performance of the 360, coupled with the PS3’s slow start has led IDG to the conclusion that the core gamer market is in fact saturated,” states the report.

“This generation of consoles has sold on a par with the prior era.
If you strip out the Wii installed base, the current cycle would have tracked lower than early stages of the prior cycle. Most of the industry growth in recent years has been driven by the DS and the Wii.
The entire report with sales forecast for 2008 and 2009 can be read right here
In other news:

3 Comment(s)

NINJAFISH

NINJAFISH

I'm having trouble understanding the validity of this information. Basically what the report says is that if you cut the Wii out of the big picture the industry is in a decline compared to last generation. Doesn't seem like their comparing apples to apples. I don't see the logic in removing the most successful of the 3 consoles and then by comparing the 2 less successful consoles to the previous generation declare that the industry is in a decline.

They say that sales are down, but they show US console sales are up and Euro console sales are pretty much the same. They expect console sales to drop, but isn't that how it works? I always assumed that console sales would remain steady or drop after the initial year.

Also where did you guys get the quote from? It wasn't in that article you linked.
I'm having trouble understanding the validity of this information. Basically what the report says is that if you cut the Wii out of the big picture the industry is in a decline compared to last generation. Doesn't seem like their comparing apples to apples. I don't see the logic in removing the most successful of the 3 consoles and then by comparing the 2 less successful consoles to the previous generation declare that the industry is in a decline. They say that sales are down, but they show US console sales are up and Euro console sales are pretty much the same. They expect console sales to drop, but isn't that how it works? I always assumed that console sales would remain steady or drop after the initial year. Also where did you guys get the quote from? It wasn't in that article you linked.
Quote
Posted on 17:54, April 29th 2008
Speed

Speed

The quote comes from the source.
And the reason why they see problems is because Xbox and Playstation clearly ruled the previous generation. That's why they also say that casual gaming is the current drive for consoles while the "traditional" gaming industry is going downhill
The quote comes from the source. And the reason why they see problems is because Xbox and Playstation clearly ruled the previous generation. That's why they also say that casual gaming is the current drive for consoles while the "traditional" gaming industry is going downhill
Quote
Posted on 21:41, April 29th 2008
Anonymous

Anonymous

they are talking out of there asses,look at there wage packets and u wont see that reflected probably the oposite,greedy mofos
they are talking out of there asses,look at there wage packets and u wont see that reflected probably the oposite,greedy mofos
Quote
Posted on 14:44, April 30th 2008
 

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