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Analyst Bursts Wii’s Bubble

November 28, 2009 Written by Kishen Patel


With the Wii dominating consoles sales since its release in late 2006, publishers have no-doubt been relying on the platform for easy money. While this may have proven successful for certain titles, a vast majority of games have done poorly after release. Predictably, this is precisely the reason why analysts are downplaying this scheme as a means of profit.

According to financial analyst, Doug Creutz, of Cowen Group, more than fifty-percent of current Wii owners also own either a 360 of PS3. In turn, he believes that game publishers would be wise to target the hardcore gaming market instead of casual gamers for profit. Rather, the analyst conforms to the idea that “the Wii bubble could be deflating.”

Obviously, the downside to this is increased effort (which means increased costs) in game development to appeal to the standards of the hardcore crowd. We definitely concur with his views on the subject since the concept of hard work holds the greater reward than aiming for a quick buck or two with shovelware.