Sony PS3 Expected To Take Over Gaming Market

The Yankee Group recently published their predictions regarding the global console hardware market. They believe the market will be won marginally by Sony and it’s new console the Playstation 3 in years to come.

The group predicts that by 2011, the PS3 will overtake the Xbox 360, created by Microsoft. They stated that by that time Sony is expected to own 44 percent of all console sales in North America, which by then will be over 30,000,000 units sold. The group also anticipates that the Nintendo Wii will have only sold 11,000,000 copies by that time, or roughly 16 percent of the market.

With the price of consoles rising, the firm also predicts that, overall, less units will be sold compared to previous generations. At this time, the cost for the new Nintendo Wii is not known, but the PS3 will cost $599, that’s $200 more than the Xbox 360 and more than double the cost of the PS2 when it was first released.

Another note by the Yankee Group is that Microsoft may possibly put significant price pressure on Sony following the release of the PS3 and it’s quite possibly that the Xbox could drop in price dramatically during the spring of 2007 and each following year.

Michael Goodman, a senior analyst for the Yankee Group, says,

“With a growing installed base of connected consoles, content owners are beginning to recognize the potential video game consoles offer”

also mentioned by Michael Goodman,

“Additionally, these platforms will serve as a strong medium for advertising”