Pach-Attack: The Handheld Market Sucks

GT:Why doesn’t Microsoft make a portable? Plus, why the whining over used game sales?

[ApolloTheBoss]

In other words, the handheld market is awesome!

[dedicatedtogamers]

PSP and DS created the highest-selling generation of all time. The DS has sold more than PS3 and 360 combined. PSP sold 75-80 million, which is as mch as either the 360 or PS3 sold.
The only reason why the 3DS and Vita are going a bit slow is because they're still young. PSP and DS went through the same trial period.

[Granpire]

Pachter has a point, though. The world is a different place now, one littered with mobile devices that can play mobile games. I wish it weren't so, but many people are fine with touchscreens for portable gaming.

[joeorc]

while i agree with your logic of what you stated, and while the dedicated game handhelds are awesome
I own the DS, PSVita and i have owned many through out the year's the main problem is what has changed in the last 10 years to this part of the Market. What Mike was saying is a little blunt and he is talking about the market as a whole, he is pretty spot on. The reason being is with Smart Devices like smartphones and Tablets they are now the over all market leader not only in hardware sales but also in software sales also. This same transition happened to the PDA market. That does not mean you cannot carve out a solid niche of a sales base in a few years for your product. It just means that you can no longer expect it to be the booming industry it was 10 years ago.

Example: the 3DS is the market leader it sales are fantastic in the games market industry, but if you look at the games market industry as a whole the install base may get to be 100 million to maybe 150 million for end of life install base of the product in maybe 7 to 9 years time. while the smartphone market sale 100's of Millions a year! take samsung they sale over 86,567.6 million smartphones a year, add in apple which which is also over 50 million than even Sony is over 30 Million xperia smartphones a year. just those 3 companies alone absolutly dwarfs in device sales per year let alone in a per quarter basis/ hell add in HTC, THEY HAVE ANOTHER 40 MILLION A YEAR.LG there is another 48 million+ a year. Now even though they the games devices market is much smaller the real point that Pach is making is the sheer number's example on a per Quarter basis

over 75,906.1 million Android devices per sales quarter
and add in Apple
iOS PER sales quarter is over 35,456.0+ million

even adding all three game companies on a quarter by sales quarter basis with every dedicated handheld gaming device they sell there is no contest.

Like i stated the devices are not poor or dead in market devices its just this part of the market is no longer the leader ,its now the niche , a very large Niche of millions which i think many companies would never really complain about with upto 100 to 150 million combine Playstation , xbox and Nintendo and this is a very strong niche market vs the wider market.

[MikeMyers]

What you need to do is follow the trends. How many units of the DS were sold in the first 2 years compared to the first 2 years of the 3DS. Is there a decline? Is Nintendo making less money because they had to lower prices for the 3DS which will make comparisons tricky. We all know the Vita is selling at a slower rate than the PSP did in the same timeline. So will Sony also be forced to drop the price earlier than they did for the PSP thus creating a different type of comparison?

Consumers only have so much free time and we all know smartphones and tablets have become popular. Do they cut into what was once a handheld gamers free time? Hard to say. Pachter is right in some sense that it is a different landscape now and Microsoft would not be wise to get involved. They had a tough enough time being competitive against Nintendo and Sony until the Xbox 360 came out. I imagine the handheld market is even harder to compete in.

I do like his answer about the used game sales. Forcing them to wait 3 months would solve the problem IMO. Right now Sony, Microsoft and Nintendo rely on retail stores to sell their products. If they ever go digital only it would generate more revenue for them and also cut out the used market. This is why they are so aggressive when it comes to DLC and even now some games can only be bought digitally. We have also seen online codes to try and curb used sales and also to get consumers educated on being connected online. They still know not everyone is connected which is why they are still selling physical media.

[Dj7FairyTail]

no PSP is still at 72million

[3-4-5]

Is this guy serious ? This is a great year for handheld.

* FE Awakening + Luigi's mansion trump's anything Pachter says.

[Linsolv]

I'm pretty sure, at this point, Michael Pachter's analysis involves getting fall-down drunk, talking to a cat for an hour, and then writing down the results and reading them when he sobers up.

[LOGICWINS]

Good evidence that Microsoft didn't get into this industry to sell games. And great explanation by Pachter regarding why used products in gaming are taken more seriously than in other industries.

[Jek_Porkins]

So because Microsoft doesn't see a way around Nintendo's 20+ year handheld dominance they aren't in the industry to sell games? I think it's smart not to waste money, you have to look at where the market is heading and where its been.

There have been a ton of superior handhelds on the market that got slapped around by a lesser Nintendo handheld.

[1nsaint]

@NYC_Gamer why do you always post pachter articles?

[coolbeans]

I think it all comes back to the contributor contest rankings. If no one stays on top of submitting Pachter's videos, which can get BIG degrees, who wouldn't jump at the opportunity?

[Donnieboi]

Gets a lot of hits, so why not?

[animegamingnerd]

i wish people would just ignore patcher

[secretcode]

Shut up.

[Reverent]

I read that in Hank Hill's voice. Thank you.

[secretcode]

That's the magic of Propane and Propane Accessories.

[breakpad]

Except the fact that Pachter hasnt predict anything significant (except the obvious ones)...doesnt know shit about gaming industry..neither is a gamer himself as it seems from his sayings....shut your mouth and find a new job man because you re clueless

[Protagonist]

If the game companies insists on preventing reselling games, it is a pretty good solution Pachter got. Make a deal with Gamestop and other similar stores, which says: if they buy a game back (and they got a specific deal with the games publisher) they can´t resell the game, until after it has been 3 months on the market.

[Why o why]

maybe if ms was in the handheld market the industry wouldnt suck....right mr patcher....I kid but why allow this guy yet ban hip hop gamer who is closer to our vocation than this dude.

The online pass system was the first step of redressing the used game dev pay balance. No other industry is so anal about buying second hand. Im hoping none of the manufacturers try to fully lock us out

[Protagonist]

Did not know hip hop gamer got banned???

Edit: Watching his own explanation on youtube now, on why he got banned.... I never felt he stole anything article-wise and if people here bashed him with racial slur, it is beyond sad!!! people like that need to gtfo.

[Trago1337]

Yep, 3DS at 30 million in 2 years, yep, just SUCKS.

[kwyjibo]

His point is that Nintendo already own the handheld market, so its rubbish for everyone else.

[Y_5150]

Why would hey say it sucks then corrects himself that it doesn't suck?

[dirthurts]

I agree with Pach.
I really really love the Vita. It's awesome. Powerful, beautiful, and innovative.
But, alas. I just can't justify the money.
Perhaps once I'm out of college I'll have more expendable income and then it will make more sense, but right now, my money is going elsewhere.

[cyguration]

Good luck finding a job in this economy...you'll probably have more disposable income while you're in college than once you get out of college.

[YoungPlex]

Vita's great! I'm getting one as soon as Soul Sacrifice comes but I agree, Sony doesn't have a prayer in making money off the Vita, Nintendo will be alright selling 15 million+ units a year. Doesn't matter, I'll be happy with Souls Sacrifice that's all that matters!!!

[tndtloveu]

I think PS Vita will get better when PS4 releases if Sony incorporates the 2 systems better. Right now, it's still great, but not a lot of games from 3rd party coming out.

[animegamingnerd]

gameboy, gameboy color, gameboy advance, DS, 3DS, PSP, vita are million times better then smart phones and tablets to play games on

[polorsport]

Fuck Pacher!

Fuck everything he says, everything he is apart of, and everyone associated with him.

He has not been, and never will be a gamer! Therefore he represents everything wrong with the industry. Suits talking about something they know nothing about.

[dirthurts]

Why are you so angry?
They're people you can talk to you know.

[Gamer-Z]

Pach is right about two things...

1. Microsoft is not in this for gaming nor do they care too much about gamers, their vision for the Xbox was always for it to be an entertainment hub.

2. The reason why the used game market is still around is because games cost too much. New games have a fixed cost of $60 or 70, the problem with this is not all games are worth that price good example: Aliens Colonial Marines is mediocre trash but still costs the same as Bioshock Infinite! Why? The games industry needs to move away from a fixed pricing model and embrace a variable pricing model instead.

[medziarz]

It's a good rant by Mr Pachter, BUT he is wrong about the Vita, because he's not been updating his knowledge of that industry and just repeating the Vita doom and gloom from US gaming media in 2012.

Mr Pachter, it recently turned out Vita is selling software, a lot of it, despite the relatively small install base:
600k AC3L or an indie dev calling on tweeter to industry peers to bring their games to the Vita because that's where the money is! plus 100 games this year for Sony's handheld.

[DiRtY]

Pachter is right on this one.
The Vita fails and please don't even try to deny it.
3DS won't be as successful as the DS.
Xbox turned into a media center for the living room and that is why it is as successful as it is.

[animegamingnerd]

if the 3DS isn't going be as successful then explain why it is selling at a faster rate then the DS

[killerorca258]

A few interesting facts for you, the Vita has sold more than the PsP and almost the same as the 3DS did in their first 12 months on the market, what's more 87.6% percent of all Vita users are satisfied with and love their Vitas, thirdly the Vita has more than 100 new games being released this year, fourthly Vita owners spend an average of 18 hours per week on their Vitas, and finally the Vita has an expansive list of great games already here or coming in 2013.

Uncharted Golden Abyss
MGS HD Collection
Little Big Planet Vita
Persona 4 Golden
Soul Sacrifice
Gravity Rush
God Eater 2
Final Fantasy X and X-2 HD
Jak and Daxter HD Collection
NFS Most Wanted
Killzone Mercenary
Tearaway
Disgaea 3 AoD
Guacamelee
Stranger's Wrath HD
Munch's Oddyssey HD
Phantasy Star Online 2
Atelier Totori Plus
Atelier Rorona Plus
Ninja Gaiden Sigma Plus
Ninja Gaiden Sigma Plus 2
Dead or Alive 5 Plus
Tales of Hearts R
Tales of Innocence
Machinarium
Walking Dead Season 1
Dokuro
Sound Shapes
Knytt Underground
Blazblue CSE 2
Street Fighter X Tekken
Escape Plan
Project Diva F
DJ Max Technika Tune
Toukiden
I can go on but I'm tired I'm off to bed.

[DiRtY]

The PS Vita did not sell more than the PSP! What are you smoking?

First 52 weeks in Japan:

PSP: 2.23 million
PSV: 1.09 million

Time it took each handheld to reach one million in Japan:

DS: 4 weeks
3DS: 12 weeks
PSP: 14 weeks
PSV: 41 (!!!) weeks

you might want to check this thread. Just data, no spin. Give it a shot.

http://gamrconnect.vgchartz...

[danny818]

I love my vita. I really dont wish the worst for te handheld market :/

[drsnoopyseussdog]

I personally like handhelds more than consoles. Its awesome to play sport games with friends on consoles, but when i'm just chilling at my house i would much rather play on a handheld.

[nevin1]

Handhelds may have a better future than consoles.

[stragomccloud]

3DS and the latest sales from Vita disagree.

[WalterWJR]

patcher makes me sick. His voice is so grinding.

[killerorca258]

AMEN PREACH IT BROTHER!

[killerorca258]

Pachter's prophecies should be taken with all of the salt available until his next bull session. The reason Microsoft don't make a portable is because they have no developers who could make system-selling exclusives. A portable Halo or Gears of War would be awesome, but what's beyond that? The only developer they have who could do that is Rare and yet despite Rare's brilliance, Microsoft have let them rot away, a real shame as I would buy a console to play Conkers Bad Fur Day 2 or Banjo Kazooie 3. Unfortunately, Microsofts games don't sell their consoles, because Nintendo has Mario 3D, New Super Mario Bros, Luigi's Mansion, Legend of Zelda, Metroid, Starfox, Dragon Quest, Donkey Kong, Mario Kart, Paper Mario, Pokemon, Fire Emblem, Etrian Oddyssey, Pikmin, and many other franchises, and Sony has Uncharted, Fumito Ueda's games, Valkyria Chronicles, Metal Gear Solid, God of War, the Persona games, Little Big Planet, Wipeout (sort of), Resistance, Jak and Daxter, and they also have plenty others.