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Embedded Cellular Connectivity Drives Portable Gaming Console Market to $24Bn by 2016

ARCchart estimates that portable gaming consoles and associated games title sales will account for nearly $24 billion in revenues by 2016, up from $18 billion in 2012.


London, 21 November - The influx of innovative and advanced features on smartphones and tablets, such as high resolution graphics, has fuelled perceptions that Portable Gaming Consoles (PGCs) such as the PlayStation Vita and the Nintendo 3DS will vanish in the near future.   However, in a recently published report,  ARCchart believes the market still has a healthy outlook.  The London-based research firm estimates that portable gaming consoles and associated games title sales will account for nearly $24 billion in revenues by 2016, up from $18 billion in 2012.

While gaming on mobile devices, like smartphones and tablets, will certainly have an impact on the potential growth of the PGC by attracting casual gamers, many serious gamers remain committed to portable consoles.  This is particularly due to the exclusivity of core gaming titles and the fact that these gamers have been conditioned to the controls (buttons, joysticks) on particular PGCs - controls which touchscreens on mobile devices cannot easily imitate.

Nonetheless, key challenges must be addressed to ensure sustainability of the PGC ecosystem.   For starters, reduction of the console’s retail price is a key area of focus for PGC manufacturers.  Pricing of PGC game titles is especially vulnerable in a market where games on smartphones retail on average for around $1.   PGC vendors are aware of this reality, and the signs are that they are committed to reduce game title and console pricing, while at the same time continuing to push for exclusive high-end gaming titles.

Furthermore, with embedded cellular connectivity becoming a more common feature within PGCs, wireless carriers are also showing interest in bundling PGCs into their packages.  Following prior endorsements from carriers such as NTT DoCoMo, AT&T Mobility and Vodafone, the Canadian operator Rogers recently announced plans to offer the 3G variation of the PlayStation Vita.

Besides enabling wide opportunities for online gaming whilst on the move, cellular connectivity also allows gamers to download new titles directly to their device, or receive updates, regardless of their location, putting PGCs on a more level footing with mobile devices.  ARCchart forecasts that embedded cellular connectivity in PGCs will grow at a rate of 86%, eventually becoming a standard feature on all PGCs.

For more information on the report, use this link:
Selma Liemborg
Press Manager
Tel: + 44 33 00 88 1355
Email: sliemborg(at)arcchart(dot)com


 Portable gaming consoles
 PGC market forecast
 PlayStation Vita
 Nintendo 3DS
 PGC ecosystem

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