I look at three factors:
1) general industry metrics (are they profitable? are their profits in line with industry averages, above or below? etc
2) how are they performing vs their own benchmark?
3) how are they performing relative to the competition/market
In super summary this is how I therefore see the 3 main players right now:
For 1) - basic metrics
Nintendo clear winner. MS showing some glints of light after a sustained period of loss. Sony struggling but getting there.
For 2) - vs themselves
Nintendo clear winner again, but then they have gained by far the most so this is a given .
MS showing steady progress but I'd argue not enough vs the continued excessive effort they're putting in, but overall you can't fault they're steadily growing their entertainment business.
Sony - oh, dear - but then given they have lost the most so this is a given.
For 3) vs competition/market - Nintendo wins again (clearly), holding up well vs competition and market.
MS doing okay but struggling to really expand out of their core niche and having to really cut prices, buy a lot of exclusive content, etc. to remain in the running for continued growth and hold of Sony, their nearest clear competitor at the moment.
Sony, not as bad as you'd think IMHO, but not great either. They're struggling vs Nintendo as MS are, but they are managing to use their brand and starting to leverage key franchises to keep themselves in the game, managing to sell their console well vs MS at a much higher price. LTD they are keeping pace with MS with a consistently higher price point. However they are in the worst place relative to the market right now, although I do think they have ability to work to reduce this and even turn elements of the market to their advantage.
Try to be reasonable... its easier than you think...







