Microsoft Number 2 Worldwide?

[yacobschlomo]

That seems to be the case according to a recent report by In-Stat/MDR

http://www.instat.com/press.asp?Sku=IN030703ME&ID=813

I have seen many articles stating that Nintendo was in second place worldwide, but I wouldn't be suprised if those articles were getting their info from Nintendo.

["The Game"Evolution]

<div class=\"smallfont\">That seems to be the case according to a recent report by In-Stat/MDR

http://www.instat.com/press.asp?Sku=IN030703ME&ID=813

I have seen many articles stating that Nintendo was in second place worldwide, but I wouldn't be suprised if those articles were getting their info from Nintendo.</div>

Well yacobschlomo,you may be on to something.Good post.Thanks for the info.In case any of you didnt click on to the link:

Video Game Console Market Entering Cyclical Downturn

SCOTTSDALE, Ariz., November 24, 2003 - The video game console business again surpassed box office receipts in the US in 2002, indicating that the video game console business is big business, reports In-Stat/MDR (http://www.instat.com). However, according to the high-tech market research firm, with the console business following its typical cyclical trend, 2003 shipment and revenues are expected to fall from 2002 levels. 2003 worldwide console shipments are expected to drop by more than two million units from 2002 shipments.

Lower 2003 shipments from the PlayStation 2 (PS2) and PSOne consoles are primarily responsible for the drop-off. Both Nintendo GameCube and Microsoft Xbox shipments are expected to increase in 2003, but not enough to offset reduced Sony shipments. Console revenues in 2003 are expected to fall as well, by nearly $2 billion, with both price-cutting and lower shipment numbers responsible for the drop. “Overall, the console market is seeing great change with the current generation of consoles and the availability of online gaming,” says Brian O’Rourke, a Senior Analyst with In-Stat/MDR. “We expect all three competitors to release their next generation consoles in the second half of 2005, when this market will trend upward again, with revenue levels reaching those of 2002 in about 2006.”

In-Stat/MDR has also found that:
Sony shipped its 60 millionth PS2 console on September 6th, 2003, a number that the Microsoft Xbox and Nintendo GameCube will not reach. Sony also appears to have successfully established the PS2 as an online platform with its Network Adaptor product.

Over the past year, Microsoft has successfully established the Xbox as the number two console worldwide, surpassing the Nintendo GameCube. It has also attempted to establish its Xbox Live online service in all regions of the world. It has achieved initial online success in North America, but faces challenges in Europe and Japan.

Nintendo has had a very difficult year. Disappointing sales of its GameCube have caused more bad news for the company, from disappointing earnings reports to some third party developers beginning to scale back their commitment to the platform. Nintendo has acknowledged flaws in their GameCube marketing strategy, and hopes to recover their former standing in the console space. However, with two solid, deep-pocketed competitors, Nintendo faces the biggest challenge in its corporate history.

The report, The Cycle Turns: Video Game Console Shipments & Revenue to Decline in 2003 (#IN030703ME), includes a five-year shipment and revenue forecast for each current generation console: the Sony PS2, Microsoft Xbox, and Nintendo GameCube, broken down by region. There is also a forecast for online console gaming subscribers through 2007. Shipment and revenue forecasts for the next generation of consoles are also provided. The three participants in this market, Sony, Nintendo and Microsoft, are profiled in depth in four areas: console business, marketing strategies, online plans, and shipment analysis.

[Glockstar]

<div class=\"smallfont\">That seems to be the case according to a recent report by In-Stat/MDR

I have seen many articles stating that Nintendo was in second place worldwide, but I wouldn't be suprised if those articles were getting their info from Nintendo.</div>

Ch-yeah, they were Nintendo press releases - the most accurate source of news on the planet!
:rolleyes:

Anybody remember those Saturday morning news reports by Christopher Glen? You know, the ones that came in right in the middle of your Saturday morning cartoons? Well that's what those "news" articles by the ole N are... they're for kids!

Nice article, btw.
Thanks for the info and link, yacob.

[trebor]

There are enough errors in this article to discount their "M$ is # 2 worldwide" proclamation.

For one thing, Gamecube hardware and software sales are up sizeably in 2003 compared to 2002 - which directly contradicts the entire article's point.

The NPD numbers showed that the Gamecube was ahead of the Xbox in worldwide sales, yet you Xboyz® want to beleive what this analyst is saying so much that you discount the more accurate source. Shock of all shocks.

[yacobschlomo]

<div class=\"smallfont\">There are enough errors in this article to discount their "M$ is # 2 worldwide" proclamation.

For one thing, Gamecube hardware and software sales are up sizeably in 2003 compared to 2002 - which directly contradicts the entire article's point.

The NPD numbers showed that the Gamecube was ahead of the Xbox in worldwide sales, yet you Xboyz® want to beleive what this analyst is saying so much that you discount the more accurate source. Shock of all shocks.</div>


This isn't an article Trebor. It's a few key points from a market study. Can you please point out the errors you are referring to? This report is not just the opinion of one analyst. The report was done by a respected market research company. They need hard facts to sell their report for $2,995. Can you also provide me with a link to the NPD numbers you are talking about?

I personally think the GC's lead in Japan probably gives it an edge over the Xbox overall. However, I currently work for a market research firm myself and know all the work that goes into these studies. I don't think that they would put out a report unless they are sure that they have evidence to back up their claims. Otherwise, it could damage the credibility of the company.

[Gadfly2317]

<div class=\"smallfont\"><div class=\"smallfont\"></div>


This isn't an article Trebor. It's a few key points from a market study. Can you please point out the errors you are referring to? This report is not just the opinion of one analyst. The report was done by a respected market research company. They need hard facts to sell their report for $2,995. Can you also provide me with a link to the NPD numbers you are talking about?

I personally think the GC's lead in Japan probably gives it an edge over the Xbox overall. However, I currently work for a market research firm myself and know all the work that goes into these studies. I don't think that they would put out a report unless they are sure that they have evidence to back up their claims. Otherwise, it could damage the credibility of the company.</div>

I'm curious how much Microsoft stock this analyst holds vs. Nintendo stock.

This "analysts" opinion has NO hard figures. Its just an analysis firm, you know, that looks at business trends for investors. Same type of guy that was still telling people to invest in Worldcom and and Enron right before they collapsed.

And here's a dead give away about reliability. This "analalyst" is so in touch with the current gaming market that he failed to even discuss the implications of the 54% increase in gamecube sales over the last two months, and the 10% decline in Sony sales. Gee, if you were giving an estimate of the market trends, you'd think you'd include that, eh? What we do know from numbers posted here at sys wars is that in Japan MS sells about 400 a week to Nintendo's 50,000, and that in the last couple months in the american market nintendo has cut xbox's lead by almost 300,000 units (according to NPD figures also posted here.)

And did this report even mention what market it was referring to, the world market, or just the US? Not that I saw.

I generally agree that it doesn't make much difference who is #2 or #3 when they are this close. We ALL know they are neck and neck, so the fact that the analyst sees nintendo in such stark terms as "dead last" is a "dead giveway" of bias. Period.

[yacobschlomo]

<div class=\"smallfont\"><div class=\"smallfont\"></div>

I'm curious how much Microsoft stock this analyst holds vs. Nintendo stock.

This "analysts" opinion has NO hard figures. Its just an analysis firm, you know, that looks at business trends for investors. Same type of guy that was still telling people to invest in Worldcom and and Enron right before they collapsed.

And here's a dead give away about reliability. This "analalyst" is so in touch with the current gaming market that he failed to even discuss the implications of the 54% increase in gamecube sales over the last two months, and the 10% decline in Sony sales. Gee, if you were giving an estimate of the market trends, you'd think you'd include that, eh? What we do know from numbers posted here at sys wars is that in Japan MS sells about 400 a week to Nintendo's 50,000, and that in the last couple months in the american market nintendo has cut xbox's lead by almost 300,000 units (according to NPD figures also posted here.)

And did this report even mention what market it was referring to, the world market, or just the US? Not that I saw.

I generally agree that it doesn't make much difference who is #2 or #3 when they are this close. We ALL know they are neck and neck, so the fact that the analyst sees nintendo in such stark terms as "dead last" is a "dead giveway" of bias. Period.</div>

What you read was not the report. They are not going to give out hard figures for free when the company is charging $2,995 for the report. Everything you are complaining about is probably mentioned in the full report. You're commenting as if you've actually read the whole thing.

The analyst just provided his opinions in an interview with Gamespot. These opinions are not necessarily what is included in the report. It's amazing how some of you guys jump on the latest Nintendo press releases as evidence of how well Nintendo was doing. It's like you would choose to believe the news coming from Enron rather than an external source. You guys will criticize "xbots" for downplaying the numbers provided by Nintendo and now you want to completely disregard the information provided by a respected research firm.

[Gadfly2317]

<div class=\"smallfont\"><div class=\"smallfont\"></div>

What you read was not the report. They are not going to give out hard figures for free when the company is charging $2,995 for the report. Everything you are complaining about is probably mentioned in the full report. You're commenting as if you've actually read the whole thing.

The analyst just provided his opinions in an interview with Gamespot. These opinions are not necessarily what is included in the report. It's amazing how some of you guys jump on the latest Nintendo press releases as evidence of how well Nintendo was doing. It's like you would choose to believe the news coming from Enron rather than an external source. You guys will criticize "xbots" for downplaying the numbers provided by Nintendo and now you want to completely disregard the information provided by a respected research firm.</div>

I'm not completely discounting the report. It just doesn't sound right. I've noticed the brighter xbox defenders around here are taking a cautious response to this one as well because it just sounds fishy and biased. We've seen hard numbers like japanese sales and American sales, and its obvious its a damned tight race. And this guy doesn't have to mention any "hard figures" that they are trying to sell for $2900. But aren't the NPD figures free? Isn't the price cut and sales spike open information, not something this firm has put together? Right or wrong, the interview contained some shoddy, biased statements that make me question its validity.

I can't wait to see the november sales numbers.