Actually, there was another article somewhere that talked about video games being recession proof. The reasoning is that as gas goes up, we are hitting $10-20 in gas to go anywhere to do things. This keeps people at home. This allows more time to play games. So if it costs $15 to go to the movies, $20 in tickets, $10 for drinks/popcorn, you are quickly paying as much for 2 hrs of entertainment versus a good video game which costs $50-60 and provides 50+ hours of entertainment.
The main price component of video game cost is salaries, not gas prices. Salaries are staying stable, so while gas prices are making all other consumer products go up in price (i.e. groceries), video games are actually reaching the consumer bases where we will see discount games and will likely see another cut for the PS3 and Xbox360.
The video game industry will be fine unless gas prices get to $6 and cause panic about whether you can afford to go to work.
