“Q1 is looking like the beginning of an up-cycle year,” said Billy Pidgeon, video game analyst for IDC. “There’s good software movement, but hardware is stalled a bit by short Wii supply and stagnant demand for 360 and PS3.”
Nintendo’s console sold 259,000 compared to 199,000 and 130,000 units for Microsoft’s Xbox 360 and Sony’s Playstation 3.
Pidgeon is adamant that Nintendo could have sold many more machines, had the supply been available: “I believe the Wii will continue strong growth although supply continues to be a problem. I’d like to see Wii hardware shipping in larger quantities or mass-market consumers may cool on it. Having said that, I don’t believe supply will be met for the Wii until 2009.”
But he was keen to point out that the lack of Wii stock will not necessarily mean increased sales of the other next generation consoles. “Xbox 360 and PS3 need system-selling games as soon as possible. Halo 3 will help,” he added. “But that leaves a hole in Q2 which will be filled by Wii, DS and PSP hardware and software. We’ll also see more PC and PS2 software picking up the slack.”
Pidgeon’s comments come the day after NPD analyst Anita Frazier suggested PC gaming was on the rise thanks to increased sales of role-playing games.