Print 111 comment(s) - last by Clauzii.. on May 26 at 11:41 AM

Microsoft resets finish line to 100 million after winning the 10 million unit dash

According to the latest NPD console sales numbers, Microsoft holds the lead in terms of total current-generation console sales in the U.S. with 10 million Xbox 360 sold. Microsoft touted this number as being particularly significant as it believes the first to this milestone wins the generation overall.

“This year will be the largest in the history of the video game industry, with Xbox 360 leading the charge in the U.S. and abroad,” said Don Mattrick, senior vice president of the Interactive Entertainment Business in the Entertainment and Devices Division at Microsoft. “History has shown us that the first company to reach 10 million in console sales wins the generation battle. We are uniquely positioned to set a new benchmark for the industry.”

More than 19 million Xbox 360 consoles have sold worldwide – a number already eclipsed by the Nintendo Wii on the global scale with 25 million total units sold. The Wii with 8.8 million in the U.S. is also rapidly gaining on Xbox 360 and is selling at a quicker pace, despite having launched a year after Microsoft’s console. The PlayStation 3 has sold 4.1 million in the U.S., with a total of more than 12 million worldwide.

One area that the Xbox 360 is the undisputed leader in is the online space, where there are currently more than 12 million Xbox Live subscribers.

“Perhaps more important is the Xbox 360 worldwide online base – 12 million Xbox Live gamers is the largest community in the connected console games sector, which represents the greatest growth opportunity in the console market and where Microsoft has been the leader for two generations,” commented Billy Pidgeon, research manager at IDC.

With the 10 million mark under its belt, Microsoft appears to now be resetting the finish line at 100 million. Microsoft Games Studios corporate VP Shane Kim said in a Wired|Game|Life interview that the console war will finally be decided “When somebody's well on their way to reaching 100 million units.”

Microsoft may have a problem reaching the 100 million mark ahead of its competitors if the Japanese market isn’t buying the Xbox 360, where the console has yet to sell 1 million units. “Well, we've always known that we weren't going to win in Japan, right?,” Kim replied. “And I think we can build a very good business, an exciting business with a pretty big installed base with success in places like North America and Europe. Even though you may not think it's big numbers, we're actually strong in Latin America as well. Canada's been a big market for us as well. So there are ways to get the scale.”

“Now, if you don't get 10 million units in Japan, can you get to 100 million units overall? I'd love to get 90 million units and have that problem. That's what we're really trying to focus on,” Kim added. “I think it's way too early to declare a winner.”

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RE: Yeah right
By LemonJoose on 5/23/2008 6:12:32 PM , Rating: -1
The Wii is not competing in the same market niche as the Xbox 360 and PS3. The Xbox 360 and PS3 are consoles for videogame hobbyists who buy and play a lot of games, and want to play games like GTA 4, Call of Duty 4, Halo 3, Bioshock, Orange Box, and Burnout Paradise. The Wii is a cute little dumbed-down party game fad that may be fun to play Wii Sports when your relatives come over, but then when they leave, anybody who is actually into videogames then puts the Wii away and goes back to their real gaming console, which is a 360. The PS3, because it has fewer quality exclusive games available is mostly just a Blu-ray player for movies.

RE: Yeah right
By Alexstarfire on 5/24/2008 8:55:03 AM , Rating: 2
Wow, somebody hates Nintendo.

RE: Yeah right
By Clauzii on 5/26/2008 11:41:47 AM , Rating: 2
... and SONY.

RE: Yeah right
By PianoMan on 5/24/2008 1:06:02 PM , Rating: 2
You're right in that the three game systems are not in the same niche. The 360 and PS3 were made for gamers (like me). The Wii was made for EVERYONE else in the family.

Last time I checked, I was outnumbered.

The Wii is in a GREAT market position - it's got an unmatched growth base that it's already capitalizing on. Hopefully Nintento can keep up the quality of games for it.

Disclosure: owns a 360 and Wii.

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