US videogame sales continue downward slide

Sep 10, 2010
Visitors are seen trying out games at the Electronic Entertainment Expo (E3) in Los Angeles, in June 2010. US videogame sales slid again in August as the industry hoped that hot titles and new motion-sensing controllers due out in coming months would reverse its fortunes.

US videogame sales slid again in August as the industry hoped that hot titles and new motion-sensing controllers due out in coming months would reverse its fortunes.

Revenue from videogame software and hardware tallied 818.9 million dollars, 10 percent less than the 910.3 million dollars taken in during the same month last year, according to data released Thursday by NPD Group.

"In fact, this month reflected the lowest sales for August since 2006," said NPD analyst Anita Frazier.

"While all categories are down in both dollars and units, the portable portion of the industry is down to a greater extent than is the console portion."

Sales of portable videogame devices, accessories and games plunged 25 percent as compared to August of 2010, while revenue from consoles was down six percent, NPD reported.

The disappointing figures came with fading hopes that a recovering economy would re-ignite sales in a videogame industry that was booming at the start of the global fiscal crisis.

Sales of and gear as of the end of August were 8.37 billion dollars, down 8.0 percent from the 9.09 billion dollars taken in at the same point the previous year, according to NPD.

US videogame industry sales slipped about one percent in July despite a jump in the number of shoppers snatching up , (PS3) and consoles, the market tracker reported.

Xbox 360 was the top selling videogame console in August, with people spending 356,700 dollars on the Microsoft-made consoles.

Sony posted a 13th straight month of improved year-over-year PS3 sales in the United States, taking in 226,000 dollars in August.

Spending on videogame software dropped 14 percent to 403.5 million, with the freshly released "Madden NFL 11" sports title centered on US football being the best-seller.

Next week's release of "Halo: Reach" is expected to boost videogame sales as the franchise has a broad and devoted following.

Frazier expected the videogame to kick off a wave of "mega-title releases" in the remainder of the year.

In coming months, Sony is to begin selling a Move accessory to add motion-sensing control capabilities to PS3 consoles and Microsoft is to release Kinect hardware that lets players use body movement to command the Xbox 360.

Frazier predicted the US retail videogame sales for this year would be in the range of 18.6 to 20 billion dollars given "the incredible games and accessories (e.g., Move and Kinect) that are coming out."

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User comments : 6

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TheQuietMan
5 / 5 (1) Sep 10, 2010
Every time I get a game that requires I update a video card because the game makers are too lazy to use older hardware turns me off even more. The sad part is many cases you can't tell the difference in graphics.

That and game companies buying other companies, then making sequels without a clue what made the previous generations popular. I hate to say it, but the C&C and Red Alert franchise is almost dead with Westwood out of the picture.

As for consoles, you want to sell games you need to drop console prices.
Aloken
not rated yet Sep 10, 2010
Game makers already spend years to put out a title, you call them lazy because they didn't spend a couple more to support a bunch of older drivers with less bug fixes just so you don't have to download and run a simple file once in a while. Good or bad they are the ones spending plenty of money and working overtime to make things happen.

Call me crazy but I don't think they are the lazy ones...
trekgeek1
not rated yet Sep 10, 2010
Yeah, but this is before Halo: Reach. Let's revisit this next week.
finitesolutions
not rated yet Sep 11, 2010
Computer games are a big waste of time and energy. Once you pass the teen years it is time to mature and leave the gaming years behind. There are plenty of challenges available than some computer characters.
jas99
not rated yet Sep 11, 2010
Who are you kidding? By any definition ANYTHING one does not directly related to basic survival is a "big waste of time and energy". Computer games are just as valid as a "waste of time and energy" as wasting your time and energy pointlessly climbing Mt. Everest or ANY OTHER POINTLESS ACTIVITY.
xboxps3wow
not rated yet Sep 27, 2010
I recently came across your blog and have been reading along. I thought I would leave my first comment. I don't know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.