Abstract
The game console business is extremely costly, and coupled with a dismal
economy, Microsoft, Nintendo, and Sony each have turned to online gaming to
generate additional revenue. Clearly, in order to take advantage of online
gaming, consumers must own a game console. While game console shipments are
entering a decline, subscription growth to online game services is expected to
occur as a result of the sizable video game console installed base and a
growing consumer awareness and comfort with online gaming. From 2005 to 2013,
annualized growth of console and handheld subscribers combined will be 20.4%.
In-Stat' s latest gaming report contains forecasts for online game subscribers
annually through 2013 for online-capable game console and handheld consoles.
Forecasts for each console include an annual console installed base, the
number of subscribers (free or paid), subscription revenue, paid download
revenue, and online advertising revenue. This report does not forecast PC
online gaming or casual gaming. Analyses are provided for the online console
strategies of Microsoft, Nintendo, and Sony, as well as the online handheld
strategies of Nintendo and Sony.
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