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COMMENT: Console Gaming Facing Grim Future As Microsoft Moves To TV’s

Smartphone & PC Gaming Take Hold As Consoles Head To Death Row

PC and smartphone gaming is alive and well and delivering booming sales, much to the delight of retailers, so what about the future for console gaming which I am tipping is facing a slow death as mobile and TV gaming takes hold.

Recently Microsoft cut a deal with Samsung to open up Xbox gaming, while Sony has already worked out that the money is in the software with the Japanese Company who were fined millions last year for trying to rip off PlayStation console consumer with a dodgy warranty policy now cutting deals with third parties to allow access to their gaming apps.

Microsoft also recently acquired Activision with antitrust enforcers around the world lining up to review the US$68.7 billion deal, which was announced in January, this deal was not undertaken to bolster Xbox sales but grow gaming on multiple devices.

Several industry executives claim that the acquisition will have huge implications for the $190 billion video game industry if approved.

Credit: TechUnwrapped

Developing consoles is a costly business and in the past, they have been loss makers as Sony and Microsoft used them to generate software sales.

Now can you not only watch Halo on a Samsung smart TV today, but you can also now play it too, with Microsoft unveiling a new Xbox app that–for now, is exclusive to Samsung.

By this time next year, I suspect that the likes of Foxtel who are set to launch a new glass OS TV will be offering games from, one of the big players alongside sport coverage and movies.

I am certain that PC gaming will eventually overtake and eventually eliminate console gaming because PC gaming allows hardware makers such as Acer, MSI, Alienware and Lenovo to constantly evolve the hardware capacity of a PC gaming machine. For Sony and Microsoft this has proved costly with years between upgrades as opposed to months with a PC.

While console gaming from the likes of Nintendo won’t go away, it’s mobile gaming that is gathering momentum delivering growth for several players including Google and their Stadia platform.

Smartphone games are really taking off, earning more money than console gaming.

Today mobile is the world’s biggest and fastest growing game platform, by both player numbers and revenues.

According to Newzoo’s Global Games Market Report, mobile generated revenues of $93.2 billion in 2021 (+7.3% year on year).

It accounts for more than half of the global games market, meaning mobile game revenues exceed console and PC combined.

Analysts forecast that mobile’s revenue growth will reach $116.1 billion by 2024, continuing to outpace growth on PC and console.

Many people are now questioning why they need a console from the likes of Nintendo if they can simply have Nintendo games on their phone the same applies to both Microsoft and Sony games with brands such as Apple and Samsung now building smartphones that have OLED 120Mhz display and fast processors.

 



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