Video games hit record sales
http://www.msnbc.msn.com/id/10842897/
Video games publishers enjoyed a record-breaking year in 2005 in the US in spite of a
12 per cent fall in software sales for consoles, according to NPD, the leading provider of statistics for the industry.
The strong performance was credited to growth in the portable games market, said NPD, which offset the declines in the console market.
For the second consecutive year, sales of portable titles exceeded $1bn, reaching $1.4bn in the US.
The portable hardware, software and accessory categories recorded dollar increases of 96 per cent, 42 per cent and 88 per cent respectively over the previous year.
Overall, sales of console and portable hardware, software and accessories reached $10.5bn, 6 per cent higher than the $9.9bn generated in 2004 and beating the record of $10.3bn achieved in 2002.
While Sony's PSP and Nintendo's dual-screen DS handheld consoles experienced strong sales, NPD said the backbone of the portable market remained Nintendo's Game Boy Advance. Games for the GBA represented 64 per cent of all portable units sold.
"The real story for 2005 was the incredible expansion of portable gaming," said Anita Frazier, industry analyst for NPD.
"The GBA continued to realise stellar sales and the introduction of the DS and PSP to the market brought older gamers to the portable format."
The console market was hit by hardware shortages, delays in release of blockbuster titles and by consumers waiting for next-generation consoles. Microsoft released its Xbox 360 in November and Sony and Nintendo are expected to release their PlayStation 3 and Revolution consoles in 2006.
"The introduction of the Xbox 360 was a defining moment for the industry in 2005, however . . . the full impact of next-generation consoles on the consumer market won't unfold until later this year," said Ms Frazier.