IDC finds Sony and Microsoft are narrowing the gap in next-generation gaming war console.
The gap between Microsoft and Sony will narrow, with the Xbox 360 installed base slightly lower than that of PS3 by 2010. Nintendo will remain a niche player within the console segment, states IDC’s latest Digital Home research, “Next Gen Consoles, Can There Be Only One?: Australia Videogame Hardware and Software 2006-2010 Forecast”.
“Seizing the console throne from Sony will not be a straightforward challenge for Microsoft. The PlayStation console family has enjoyed considerable influence on the Australian consumer mindset for the past ten years – steadily bolstering its library and building a familiar gaming experience – that its dominance in the console industry is of unquestioned precedent,” said Sophie Lo, IDC Analyst for Consumer Digital Markets.
The Xbox 360 will be available in Australia early next year, in a two product launch offering – a “core” system, and a “premium” bundle. IDC believes that Microsoft will launch the Xbox 360 with around 20 game titles, including, “Perfect Dark Zero”, “Project Gotham Racing 3”, “FIFA 06: Road to FIFA World Cup”, “Call Of Duty 2”, “The Elder Scrolls IV: Oblivion”, “Tom Clancy’s Splinter Cell 4” and “Quake 4”.
Meanwhile, IDC predicts that the PS3 will be available in Australia just before the 2006 Christmas season. IDC said Sony will launch the PS3 without a bundled hard drive along with around 30 game titles, including “Devil May Cry 4”, “Final Fantasy PS3”, “Metal Gear Solid 4: Guns Of The Patriots”, “Mobile Suit Gundam”, “Tekken PS3” and “Vision GT”.
Both Sony and Microsoft are trying to expand the gamers’ demographics with its advances in graphics and processing power combined with feature sets that deliver more than just gaming. They are both positioning their respective platforms as the media hubs of the home, with capabilities to connect digital cameras and digital audio players, or to playback cached video content from the PC or the set-top box.
However, IDC strongly believes that the winning strategy is to deliver a great gaming experience, and not to transform the console into a media hub.
“The right to claim the throne of the next-generation will belong to whoever can position the brand that delivers the very heart of gaming – namely, great games and an immersive gaming experience,” added Jerson Yau, Associate Analyst and co-author of this study.
Software vendors, such as Electronic Arts and Activision, should capitalise on the market dynamics, firstly by cross-publishing game titles to take advantage of the large installed base of the two platforms. Secondly, the rivalry between Sony and Microsoft creates a lot of excitement, and the next generation is an ideal time to develop new franchises, bringing fresh and innovative offerings to market. Game developers can also explore new gaming innovations around the integration between handheld and console platforms.
Videogame hardware includes, videogame consoles (e.g. Nintendo GameCube, Sony PS One, Sony PS2, Sega Dreamcast and Microsoft Xbox) and handheld videogame device (e.g. Nintendo Game Boy Advance, Nintendo Dual Screen, and Sony PlayStation Portable). Videogame software is designed specifically for interactive game play on videogame consoles and videogame handheld gaming consoles. Software may be delivered in a cartridge, a ROM-based format, or electronically.