Across the board the video game industry is experiencing a downturn in hardware and software sales, a trend that is blamed on the recession and a lack of top-end titles in the first half of 2009. Activision-Blizzard and Electronic Arts are set to publish their second quarter earnings next week and it is expected to be a poor showing, coming on the heels of dismal results from Nintendo and Microsoft/Xbox 360.
Last year saw a loaded first half line-up of heavy hitting gaming titles that drove sales along for video game studios in contrast with the second half of 2009 which has all of the major titles still due to be released. Notable follow-up titles for big name releases are set to release in the third and fourth quarters, hopefully pushing industry sales back up after the current slump. Left 4 Dead 2, Assassin’s Creed 2 and new additions to the Guitar Hero, Halo and Call of Duty franchises may be just what the gaming industry is looking for.
Analysts are confident that this will be the case but also state that hardware price cuts would go a long way towards increasing sales by expanding the software sales. Sony’s PS3 appears to be most in need of a price decrease.
Source: Reuters UK
Brett Venter
