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Will Sony Win Next Generation Console Wars?

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Interesting numbers out today from a report on the future of next generation gaming machines reveals that when the dust settles Sony’s Playstation 3 looks to be the final winner. That is, of course, if they can meet the promises of their hyped online gaming and Cell processor experiences.

Global research and consulting firm Strategy Analytics said their report, which predicts video game market trends through 2012, indicates Sony’s worldwide PS3 sales will top 121.8 million units, followed by Microsoft’s Xbox 360 at 58.8 million and, in distant third, Nintendo’s Revolution at 18 million. Cumulative retail sales revenues, Strategy Analytics predicts, will be in access of $47 billion.

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It’s not to say however that Sony will start the next generation console race in the driver’s seat. It is predicted that Microsoft will lead the North American and European markets until 2007, at which Sony’s victory will be eventually decided based upon how well their online experience matches that of the Xbox 360. Also in the mix is whether the Cell processor technology meets up to the hype of creating a near video quality gaming experience.

The Playstation 3 and Xbox 360 will also be critical to the digital home strategies for the two companies, said the research firm.  “The Xbox 360 represents one of Microsoft’s best hopes of controlling the digital home,” notes David Mercer, Principal Analyst at Strategy Analytics. “The 2005 holiday season will be a make-or-break time not only for the Xbox 360, but also for Microsoft’s wider digital home strategy.”  

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