The Death of the Video Game Console Market

At the New York Games Conference this week, Alex St. John CEO of WildTangent, claimed that both Microsoft and Sony are not developing next generation consoles. "Sony is not the company they use to be and the Playstation 3 is a market failure. Sony will never recover the billions they lost on the current generation of consoles. Sony says were not making another for ten years, which is code for we can never make back the billions on we lost on PS3, let alone convince our executives let's make one again. Microsoft has a hole mile deep dug in the middle of Microsoft's Campus to bury the billion dollars of broken Xbox 360's they got. The Xbox business is not a profitable business for them. It's only become incrementally profitable for them after many years, and billions invested..."(Alex St. John CEO of WildTangent) More after the jump.