Analysts See Xbox 360, Handhelds on Top

Crystal balls show big things on the horizon for the PSP too, including...a hard drive?

Sony may be the big dog on the block right now, but one US analyst firm sees Microsoft sticking ahead in the console race, at least until 2008, according to a report at GameSpot.

Analysts at Piper Jaffray have chimed in with their predictions for the next few years, a time that will see Microsoft ride the wave of excitement surrounding its console and use its earlier release date to eke out a sizeable lead over its competitors.

Piper Jaffray see Microsoft selling nearly 20 million Xbox 360s by 2008, while Sony is expected to shift around 15.5 million PlayStation 3s. The analysts don't see things going exceptionally well for Nintendo and predict that only 5 million or so people will be drawn to the company's radical departure from the current video game paradigm.

This prediction would seem to undercut Microsoft's own expectations. The company said earlier this year that it is hoping to have 10 million Xbox 360s sold across the world already by spring 2006.

But perhaps the biggest surprise is that the analysts see handhelds taking over in pure sales terms, with Nintendo being the big winner here. Piper Jaffray has predicted the Game Boy Advance (including the Micro) and DS will sell 25 million units between 2005 and 2008.

PSP, too, will do well, with the handheld keeping pace with Nintendo's offerings between 2006 and 2008. The analysts also see a new PSP in the offing - one equipped with a hard drive for audio and video.

As usual, though, all this ostensibly sagacious crystal ball gazing should be taken for what it is, as analysts have been known to be wrong from time to time.

Alex Wollenschlaeger
Editor, Kikizo Games