Popularity Of Smartphone Gaming Hurts Sony And Nintendo

Popularity Of Smartphone Gaming Hurts Sony And Nintendo

Not that long ago, Nintendo and Sony were the two key players in the mobile gaming market. Now, with the popularity of smartphones and tablets, their increased power and graphics capabilities, and the availability of popular titles, Nintendo's popular DS and Sony's PlayStation Vita are facing some stiff competition.

Last quarter, Nintendo reported worldwide sales of 1.86 million for its 3DS—a respectable number, but not chart-topping. Sony's PlayStation Vita got off to a good start when it launched, but the company is having a hard time keeping sales up. Part of the reason both of these handheld gaming consoles are struggling is because gaming on Android and iOS is increasing in popularity. Major game publishers are realizing this and are increasingly offering popular titles for these two smartphone platforms as well as for the 3DS and PlayStation Vita.

In 2009, Flurry Analytics reported that Nintendo captured 70% of all of the U.S. portable game software revenue. Last year, that number was just 36%. As portable game software revenue has decreased for Nintendo, iOS and Android's gaming revenue has increased tremendously. Three years ago, iOS and Android captured 19% of the portable game software revenue. Now, the two smartphone platforms have a combined 58% of the portable game software revenue.

Given the increased availability of popular game titles, better smartphone and tablet hardware, and the sheer convenience of carrying a single device, Nintendo and Sony definitely have their work cut out for them if they're going to continue to compete in this space.

Image Credit: Apple

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Well, I am sorry to see Nintendo hurting. Hopefully, they can adapt. Meanwhile, I hope Sony implodes and their Board members' homes burn to the ground.

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That's horrible...but somehow I perfectly agree.

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@ Jaybk26 short and blunt, quite elegantly said.

Nicoletoledo has an interesting proposition, if sony became a software licensing behemoth, focusing on its fabulous game design instead of its hardware production then maybe we could se a large shift. Instead of sony slipping while it hemorrhages cash and talent to competitors maybe they should be lucking to get their slice of the Pie.

Personally ill just be happy if they stay afloat they seem to be going the way that the Blackberry producer RIM has gone. their stock price dropping steadily to hit a near 25 year low at just over 12 dollars a share. The last time Sony stock was so low was in 1987.

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Well they should make apps to let you play nintendo and sony titles on a phone. Done deal. Work with a phone company and android to make it happen. Sonys been under for a while now. Its not to late just swallow your pride and make it happen. It has not work for a while now... do something else

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Seriously! I'm still baffled that Nintendo or Sony haven't done this. At least Sony has let some old Final Fantasy titles onto the appstore. If Nintendo starts putting NES, SNES, or even Gameboy Color games in the app store, I would put my iPhone on one end of the Large Hadron Collider and my wallet at the other end and press GO. I can understand Nintendo wanting people to buy their hardware, but nobody buys a Wii or 3DS for the Virtual Console.

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Well they should make apps to let you play nintendo and sony titles on a phone. Done deal. Work with a phone company and android to make it happen. Sonys been under for a while now

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I think the key for nintendo and Sony lately has been focusing on games and devices that are more engaging than what a smartphone can provide. Whether thats with regard to graphics or interface devices. To be honest the whole situation makes me a little sad. i grew up with Nintendo, game boy in hand, and id hate to see them give up the mobile market for smartphones. Also, i dont always need a gaming device on me, usually id rather have a phone with a long battery life and a dedicated gaming device for long trips.

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Thats really horrible.

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