Xbox 360 To OutSell PS3 Through 2008 ?

Piper Jaffray analyst Anthony Gikas and associate Stephanie Wissink have just released their latest overview of the gaming industry for investors, which shows the Xbox 360 leading the next-gen console war through at least 2008.

The report projects that the Xbox 360 will lead console sales with 19.6 million units sold through the end of 2008, with the PlayStation 3 selling 15.5 million units and the Revolution selling 5 million units. While the early launch accounts for much of this early lead by Microsoft, the overall projection shows a definite shakeup of the gaming industry from the current generation.

The PS3 will move into the yearly sales lead in 2009 with 8.5 million units for the year and will lead the overall console cycle – by a relatively small amount. The model assumes this next console cycle will run through 2011, so expect your Xbox 3 and PS4 in time for the holidays in 2012 (and no, you can’t preorder yet). Software sales are expected to rise significantly with an overall 43% increase by 2008 from both increased units and higher average prices. Publishers and console makers will also begin to see substantial revenue from in-game advertising and online downloads, as sales from these will rise from less than 250 million in 2005 to $1.3 billion in 2008. For those interested in investing in publishers, the report suggests being careful because of market volatility over the next 12 months, but Piper Jaffray reiterated its Outperform rating on several publishers including Activision, Electronic Arts, Take-Two Interactive and THQ.


Please enter your comment!
Please enter your name here