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JetSetter said:

I've actually thought about this alot and have really just figured that people just have so many ways to entertain themselves these days. Mobile devices and the Internet can keep a person pretty occupied. Look back when the PS2 came out and you will see that really outside of having the Internet (maybe) and basic movies and music there wasn't much to electronically in our home. Fast forward to today and well there's countless things to do. And while I wouldn't say that core gamers are pulling out of consoles all together like that, PC does seem to be offering a viable alternative and could be eating the lunch of the console makers somewhat. 

That's very true. A lot of my wife's and my gaming nowadays consist of watching Netflix while plugging away at some mobile game or Steam sale indie on my laptop. That just wasn't there in the ps2 era. Pulling out won't happen any time soon though, but less console game time and fewer game purchases have already happened.

I wonder where the decline is coming from or if it's even accross the board. If there is a real decline. The Wii hype and to a lessser extent Kinect brought in a lot of people that are not catered too at all in this gen. Perhaps PSVR has the potential to generate a boost. Now if NX was a phone too it might turn the tables completely.