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Some simple stuff:

a) marketshare could only be counted sensibly the second PS3s and Wii's started selling (in terms fo the comparision being discussed here which is between these consoles) - so for a second MS had 100% which quickly started to be eroded with each PS3 and Wii sold. As 360 was in market for a year first it had to lose marketshare initially and will continue to do so

b) A final level has not been reached yet but the way the maths works unless MS sold massive amounts more than PS3 and Wii globally (which now seems a remote possibility at best) then it can only slowly lose share. PS3 is however only slowly growing its share. It's the Wii that's driving the most change - with a residual but lessening effect of the 360 starting with 100%

As for 2008 - I think it's gonna end up with fractured market as follows:

1) Casual gamer - Wii everywhere

2) 360 leading for hardcore gamers in US

3) PS3 leading for hardcore gamers outside US

Developers better work out how to make titles work globally or start focusing certain titles on certain markets.