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Xbox 360 to be console loser

Microsoft needs bigger international base

The Xbox 360 console will fall behind both the Wii and PS3 to a ‘distant third’ unless it manages to build a stronger international base, according to analysts DFC Intelligence.

Microsoft needs to greatly boost sales outside of the US or it’s going to go from being the most popular next-generation console to being the least popular in just a couple of years. Some recent sales figures claim that the Wii has already surpassed the Xbox 360 in units sales. One of the biggest console markets is Japan, a market both the original Xbox and Xbox 360 have failed to crack.

“The Xbox 360 will need to build a strong base outside North America to avoid being in a fairly distant third,” said DFC analyst David Cole.

DFC claimed that the Nintendo Wii will remain the strongest seller throughout next year but that the Sony PS3, which currently wallows a long way back in third, will come on strong in 2009. Cole said: “We could have a situation where the Wii sells more hardware units, but by 2012 the Playstation 3 is generating more software revenue."

Overall, combined cumulative worldwide sales for the three systems will reach between 180 to 210 million units by 2012. Things are also looking strong on the portable gaming front, especially for Nintendo’s DS handheld.

“Revenue from portable game software has more than doubled in recent years and we think that the Nintendo DS could eventually become the best selling game system ever in five years,” Cole concluded.

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