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Analyst Predicts Further Console Price Cuts

Thanks to an anonymous reader for pointing to a Reuters/Yahoo story discussing software sales growth and possible console hardware price cuts for the US. Tony Gikas, a gaming sector financial analyst, saw strong short-term sales prospects for companies such as EA, Activision, and Take Two, and "said he expected software sales growth for the industry of 12 percent each in 2003 and 2004." Interestingly, Gikas is also quoted as saying "(The recent) hardware price cut to $179 is working and (there will be) more to follow before year-end." How low can prices go before a new generation of console hardware kicks in?

2 of 50 comments (clear)

  1. Inside Information by Anonymous Coward · · Score: 3, Informative
    Working at Microsoft Games Research, I can tell you a few things (anonymously ofcourse). The codename for it is Xenon. We are considering using wireless controllers (no specifics). We are also considering using two TV-outs (our focus group voiced that 4 people crunched together on one TV wasn't too enjoyable). The DVD will be front tray loading rather than on the top. Remote control on/off a possibility (from controller probably). It will be backwards compatible. The controller will be smaller. There will be an expansion slot. Most of the focus group said they weren't interested in web browsing or email with the console, so we will be more media centered.

    Other numbers to consider: In the US, Xbox is #2 with over a million units over GameCube. However, worldwide, Xbox is #3. GameCube has sold just a little over 300,000 units over Xbox.

    1. Re:Inside Information by Anonymous Coward · · Score: 1, Informative

      I think it's worth noting that the general consensus of Nintendo's Wavebird (their 1st party wireless controller) is that it is a very good controller. Perhaps you are thinking of old-school wireless controllers that used IR? If that's the case you should try a Wavebird out - only when the batteries get low have I experienced any sort of transmission problems, and when it works right (probably 95%+ of the time) the fact that it's wireless makes it very appealing to me. Still prefer the controller-s layout, though.

      Also, if MS goes with wireless controllers, how will the Xbox live headsets hook up? Seems like connecting them through the controller as now would push too much data wirelessly, though I'll grant I have no real sense of the limits to how much data a wireless controller can transmit simultaneously.