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WoW factor helps video games surge 18 per cent
January 19, 2007
In what was supposed to be a difficult transition year between console generations, video game hardware and software sales in the US still rose 18 per cent in 2006, according to the annual NPD figures.
Demand for games – software sales were up 6 per cent to $7.4bn - is being fuelled by the ever-growing installed base out there, augmented by the Xbox 360, the PlayStationPortable and Nintendo DS.
Total hardware and software sales for consoles, portables and PCs were $13.5bn – up 18 per cent on 2005 and 15 per cent higher than the previous record set in 2002.
Dollar sales of console hardware were up 88 per cent, reflecting the success of the Xbox 360 and the continuing strength of Sony’s PlayStation 2.
Revenues for PC games were up 1 per cent after several years of declines. PC games are expected to get a further boost this year with the launch of Windows Vista, which has been optimised for video games.
The top game on the PC was Vivendi’s World of Warcraft. WoW’s first expansion set, The Burning Crusade, was released this week. Various versions of EA’s The Sims occupy five of the Top Ten best-seller slots for 2006. It announced laptop "romantic comedy" versions of the game this week.
EA’s Madden NFL was the top selling video game in all formats, followed by THQ’s Cars and LucasArts’ Lego Star Wars II.
Meanwhile, the jury is still out on whether PS3s sitting on shelves at retailers mean Sony has solved its supply issues or has a problem of weak demand for its pricey console.
American Technology Research found 28 of 52 stores had the PS3 in stock this week but none had Nintendo’s Wii available. Sony says it is airlifting 100,000 units a week to the US to ensure adequate supplies. Techbargains has the latest details of online availability.
