Video Game Market Misconceptions

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TomServo

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Edited By TomServo
Hey there giantbombers, I'd like to talk about some of the misconceptions among the games press about how the install bases of gaming platforms shake out. First off, would it surprise you to learn that the xbox 360 install base is actually only 138% that of the ps3? I believe this perception is fueled by an american centric viewpoint. Also, the ps3's install base is actually only significantly higher in the 3 major english speaking markets, of course being Australia, the UK and the USA. In non english speaking countries the ps3's install base is virtually equal or slightly above that of the 360 despite being released a year later and of course in Japan the ps3 dominates completely. I believe this illustrates a higher interest in the Ps3 than the 360. It is interesting that people tend not to consider these factors when diagnosing the popularity of a console.

The other shocker might be that the "casual" gaming market that's supposedly taking us over, isn't really taking us over. This is because the 360 and ps3 combined, the supposed "hardcore" consoles currently constitute 50% of install base with a player base that buys far more games than Wii owners per capita as well as being willing to pay 60$ for them. Indeed the gaming industry has tested the traditional gaming markets validity but it is clear that hardcore gaming is not dead yet. The ps3 and 360 combined have sold approximately 300 million units of software constituting about 18-20 billion dollars in revenue while the Wii has sold about 240 million software units producing only 12-13 billion dollars of revenue meaning that the "hardcore" market is still ahead anywhere from 5-8 billion dollars in revenue on the console front at least. 

A yet third shocking point is that the PC could be considered an install base itself in which case it would tower over all other consoles with a combined might of over 1 billion PC's as compared to about 350 million consoles consisting of the DS, Wii, Ps3, 360, psp, and ps2. This means that if even cheap games with low spec requirements were effectively marketed to PC owners, the revenue would be astronomical. Consider that if every person who owns a PC were to buy just 1 5 dollar casual game that would constitue 5 billion dollars in revenue. It is hard for me to understand why there aren't more companies trying to swoop in on the market I mean, considering people are willing to pay hundreds of dollars for operating systems and photo software, why wouldn't they be willing to pay 10$ for a much more enjoyable product. It baffles the mind.

That's all folks, and hope you consider the global nature of gaming, accept the casual market as a welcomed brother, and know that PC isn't dead!!

please note: All information used to compile percentages and claims was found on vgchartz.com
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TomServo

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#1  Edited By TomServo
Hey there giantbombers, I'd like to talk about some of the misconceptions among the games press about how the install bases of gaming platforms shake out. First off, would it surprise you to learn that the xbox 360 install base is actually only 138% that of the ps3? I believe this perception is fueled by an american centric viewpoint. Also, the ps3's install base is actually only significantly higher in the 3 major english speaking markets, of course being Australia, the UK and the USA. In non english speaking countries the ps3's install base is virtually equal or slightly above that of the 360 despite being released a year later and of course in Japan the ps3 dominates completely. I believe this illustrates a higher interest in the Ps3 than the 360. It is interesting that people tend not to consider these factors when diagnosing the popularity of a console.

The other shocker might be that the "casual" gaming market that's supposedly taking us over, isn't really taking us over. This is because the 360 and ps3 combined, the supposed "hardcore" consoles currently constitute 50% of install base with a player base that buys far more games than Wii owners per capita as well as being willing to pay 60$ for them. Indeed the gaming industry has tested the traditional gaming markets validity but it is clear that hardcore gaming is not dead yet. The ps3 and 360 combined have sold approximately 300 million units of software constituting about 18-20 billion dollars in revenue while the Wii has sold about 240 million software units producing only 12-13 billion dollars of revenue meaning that the "hardcore" market is still ahead anywhere from 5-8 billion dollars in revenue on the console front at least. 

A yet third shocking point is that the PC could be considered an install base itself in which case it would tower over all other consoles with a combined might of over 1 billion PC's as compared to about 350 million consoles consisting of the DS, Wii, Ps3, 360, psp, and ps2. This means that if even cheap games with low spec requirements were effectively marketed to PC owners, the revenue would be astronomical. Consider that if every person who owns a PC were to buy just 1 5 dollar casual game that would constitue 5 billion dollars in revenue. It is hard for me to understand why there aren't more companies trying to swoop in on the market I mean, considering people are willing to pay hundreds of dollars for operating systems and photo software, why wouldn't they be willing to pay 10$ for a much more enjoyable product. It baffles the mind.

That's all folks, and hope you consider the global nature of gaming, accept the casual market as a welcomed brother, and know that PC isn't dead!!

please note: All information used to compile percentages and claims was found on vgchartz.com