Smartphone and Tablet Make Nintendo and Sony scramble

A new study from ABI Research found that Sony and Nintendo are overwhelmed by the rush of the number of smart phones and tablets on the market, especially in the segment of the portable game console. Similarly, because both smart phones and tablet pretty much have to take market share Nintendo and Sony in the gaming arena.

The combination of Nintendo and Sony currently predicted to ship 38 million units of the portable game console in 2013, this figure actually decreased when compared to the year 2008 that reached 47 million units. This downward trend is said to be getting worse after 2013.

The conclusion from these studies is a portable game console will lose competitiveness with tablets and smart phones. As for the big game console that presents a serious gaming experience will continue to demand more and not so disturbed by the presence of tablet and smart phones.

Details are the press release from ABI Research study below:

Handheld Gaming Devices in Downward Spiral to Niche Status Thanks to Tablets and Mobile Devices

Scottsdale, Ariz. - June 7, 2012

? Over 38 million handheld gaming devices from Sony and Nintendo are expected to ship in 2013-a significantly lower maximum That Is than the previous peak of 47 million units in 2008. Unit shipments are expected to Following 2013 decline slightly, but the dedicated handheld gaming devices are a sustainable niche, with forecasts through 2017 Relatively flat. Smartphones and tablet use for gaming Continues to expand, making the mobile gaming market an increasingly Important companion to dedicated handheld gaming.

Senior analyst Michael Inouye comments, Mobile devices will Compete with dedicated handheld gaming devices, but select consumer segments like core gamers and WHO Those individuals do not want or have a smartphone or tablet will still Provide some demand. The Addition of mobile gaming is not Necessarily a zero sum situation; in fact, many feel there is plenty of room in the gaming market for both portable and mobile gaming.

Following an initially strong 1Q 2011 launch, Nintendo's 3DS experienced a far weaker second quarter, prompting the company to Dramatically lower the price of the handheld (from ~ $ 249 to ~ 170 USD). The lower price, with additional titles, spurred sales to over 15 million through the 2011 calendar year. In late 2011, Sony launched the Vita in Japan with a Wider launch in February 2012 to decent sales, although the price Might PROVE an issue for Sony as well, Despite significantly more robust hardware.

Inouye adds, the mobile and tablet markets consumers have Increased price sensitivity.First party developers and key game franchises will be vital cogs for the industry in the future, since the hardware alone is not going to cut it given the shorter upgrade cycles for mobile devices. Recent announcements at E3 from Nintendo and Microsoft, coupled with mobile-centric past initiatives by Sony, make clear That mobile experiences will be integrated into a dedicated gaming experiences (both console and portable).

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