Silent_Buddha
Legend
Recession or not, people still buy their gadgets and toys.
How are the I-gadget sales holding up in this recession? How about android devices? Tablets?
How about the xb360? PS3? In contrast, how did the cheapest "nextgen" console do this past December?
Heck even Starbucks has flown through this recession with brisk sales. I predicted the exact opposite for most of the above when the economy tanked, but ... people still want the things they want and will find a way to get them.
Recession will not be a damper on sales of what people want.
The same will hold true for xb720/ps4... as long as the hardware is desirable ...
Sure the hardware still does well as things like that are great at distracting you from how bad things might otherwise be.
But if you notice, software sales took a downturn despite higher console sales as more people looked to the used games market for something to play on those consoles.
That indicates that while demand is still growing for X360 and PS3, the available cash that people have to spend on the platforms (console, software, and accessories) is going down.
With a newly launched console, how many used games are there? Not that the sale of used games would be any consolation if they are still launching with consoles at or below cost to manufacture.
I won't even go into the silliness that is smartphones and such. My cousin last year was willing to get evicted from her apartment to get the iPhone that she absolutely NEEDED as well the data plan that again she absolutely NEEDED.
Regards,
SB