Analyst predicts sunny September NPD report

Pacific Crest Securities' Evan Wilson expects sales figures to be 19 percent higher than last year; raises 2006 total growth projection to nearly 10 percent.

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The gaming industry has strung a few solid months of sales together, with double-digit year-over-year percentage increases in revenue for June, July, and August. Although the industry-tracking NPD Group's numbers for September aren't expected to be revealed until late next week, one analyst is already saying it's going to be another big month.

Pacific Crest Securities' Evan Wilson released an industry overview this week that pegs the US gaming software sales for September at $412 million, a 19 percent increase from the same month last year.

"The growth is attributed to resurgent spending on PS2, significant growth in the Nintendo DS, the addition of Xbox 360 sales, and very easy comparisons," Wilson said in his overview.

Last year's September sales were dominated by EA Sports titles, with Madden NFL 06 retaining the top spot from its August release, and NBA Live 06, Tiger Woods PGA Tour 06, NASCAR 06, and Activision's X-Men Legends II being the biggest sellers. This year's EA Sports offerings will likely face competition on the September charts from LucasArts' Lego Star Wars II and THQ's Saints Row, which Wilson believes sold more than 350,000 copies during the month.

Wilson also revised his expectations for the industry's total software take for the year. Previously, he had expected a modest growth of 3.7 percent over 2005. Now, he's a little more bullish, predicting console, handheld, and PC game sales to jump 9.6 percent to $7.69 billion. "The launch of the Nintendo Wii and the Sony PlayStation 3 and very easy year-over-year comparisons for the balance of 2006 should drive the growth, in our view," Wilson said.

As for how much the new systems will contribute to the software sales total, Wilson expects the Wii to move more software but not by a tremendous amount. For the year, he estimates PS3 software sales will clock in around $184 million, with the Wii tally amounting to $221 million. By comparison, the Xbox 360, which Microsoft launched last November, racked up a 2005 software sales total of $141 million. Wilson expects the console's US game sales to clock in at $1.32 billion this year.

Discussion

34 comments
_Sam_
_Sam_

I wonder what the results will be

thekey
thekey

Jypson44 "Damn, Gaming is getting huge!" Were have you been at? Gamming has been huge for the last 21years. Thats why there still here.

Autolycus
Autolycus

Nomad013 said: "doesnt he also realize that Wii software is just gamecube software with a new controller..." you obviously know nothing about hardware or creating software...so please keep you input to yourself. We dont want your empty made up facts and stastics. You are a fanboy for a reason...99% of what you say is made up;)

metdevthegamer
metdevthegamer

Nomad013 said: "doesnt he also realize that Wii software is just gamecube software with a new controller..." Didn't know blind people could use computers...

ketsuatama
ketsuatama

He's bullish alright given his whole industry sector thrives on dishing out bullsh** to us mushrooms!

Mkeegs79
Mkeegs79

Megame91 Yeah, he's a good expert, he realizes that most people are going to take the cheaper Wii over the 500-600 Playstation 3. It's actually ironic that the Wii will make more money for a cheaper price, although it makes sense... The Wii is going to make more money because they are make profit on the hardware. It has nothing to do with numbers. Sony is saling their system at a lost. That isnt ironic.

h4xx0rz
h4xx0rz

Nomad013 doesnt he also realize that Wii software is just gamecube software with a new controller... Don't you realize that this isn't exactly the best article to start a console fight over?

judgenxcutioner
judgenxcutioner

These are the same analysts who predicted that the next poop down the chute will smell.

cjcr_alexandru
cjcr_alexandru

The industry of gaming it's expanding. That's good. Everything else are just details.

Jypson44
Jypson44

Damn, Gaming is getting huge!

Nomad013
Nomad013

doesnt he also realize that Wii software is just gamecube software with a new controller...

Megame91
Megame91

" "PS3 software sales will clock in around $184 million, with the Wii tally amounting to $221 million" doesn't this dud realise that the Wii will be in greater numbers and also Wii software will be cheaper? the same cannot be said with the PS3. Gez, some "expert" this guy is..." Yeah, he's a good expert, he realizes that most people are going to take the cheaper Wii over the 500-600 Playstation 3. It's actually ironic that the Wii will make more money for a cheaper price, although it makes sense...

TryMe01
TryMe01

"PS3 software sales will clock in around $184 million, with the Wii tally amounting to $221 million" doesn't this dud realise that the Wii will be in greater numbers and also Wii software will be cheaper? the same cannot be said with the PS3. Gez, some "expert" this guy is...

daqua_99
daqua_99

Yeh ... just another opinion ...

P2L5NM
P2L5NM

Don't be stupid.

LoWpS
LoWpS

analysts... peh. hate em.

manapsal
manapsal

damn....they making big money in the industry today

gamer_10001
gamer_10001

Ironic how the indutry's biggest growth was in drought months.

bossjimbob
bossjimbob

Quote: TargetDog "No.. I think he meant 1.32 billion game sales in TOTAL, bossjimbob" I don't think so. It says in the text, "Wilson expects THE CONSOLE'S US game sales to clock in at $1.32 billion this year." Console is singular showing possession, and since Xbox 360 was the topic last addressed in the previous sentence (By comparison, the Xbox 360...) he means Xbox 360 software sales. It might make sense if you're talking about 7.5 million - 10 million 360s in public hands. Regardless, that's a big number of software sales.

ConManWithGun
ConManWithGun

i contributed 120 dollars buying to new games for my 360 in September

TargetDog
TargetDog

No.. I think he meant 1.32 billion game sales in TOTAL, bossjimbob

bossjimbob
bossjimbob

Quote: By comparison, the Xbox 360, which Microsoft launched last November, racked up a 2005 software sales total of $141 million. Wilson expects the console's US game sales to clock in at $1.32 billion this year. Over a billion in 360 software sales this holiday? That's huge!

sigma8
sigma8

I bought Okami in September. That was all.

LordBrittish
LordBrittish

Everybody should loving nintendo because of the DS. It saved the gaming industry this year.