NEWS - Wednesday, July 1, 2009

Xbox 360 Will Be In Third Place By 2015

Wedbush Morgan analyst Michael Pachter is up to his old tricks again; this time he’s throwin’ bows in a newly released 200-page report analyzing industry sales through the next five years.

In the report (via Edge), he calls out various predictions and results, including the placement of the Xbox 360 console by the end of its life-cycle.

"We expect the dominant console at the end of the this cycle to be the Wii, as we think that the console’s low price point, innovative control mechanism, and compatibility with standard definition televisions will provide it with a competitive advantage over the next two years," he said, noting that he still expects the company to introduce a high definition Wii," Pachter wrote.

"We think that the PS3 will capture significant market share, primarily due to Sony’s victory in the high definition DVD format war, and will end up in second place by 2015," he added. "Although Microsoft’s Xbox 360 enjoyed a first mover advantage, we think that its market position will fade to third place due to lack of penetration in Japan."

Pachter may be on to something here. A big wild card in the "Race for Second" could be whether or not Microsoft’s Natal camera can tap into the casual market the way the Wii has.



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