Piper Jaffray Analysts Make Next-Gen Predictions

Analysts at financial firm Piper Jaffray have made predictions regarding the leader in the next generation of game consoles, and while the expected choice comes out on top in their predicted scenario, they expect it to take longer than most would think. According to reports released this week by the company, its calculations expect Microsoft's Xbox to lead the next-generation console war not just through spring 2006, when Sony's PlayStation 3 is planned for launch, but well into 2008. Analysts predict a slow start for Sony's platform, with an expected 1 million units in 2006, another 6 million in 2007, and eventually overtaking Microsoft with 8.5 million units sold in 2008. Piper Jaffray's analysts expect less from Nintendo's Revolution system, in contrast with the company's claims that the console will be more successful due to its user-friendly controller and low price. The analysts' scenario has the Revolution selling just 3 million units a year by 2008, fewer than the Xbox 360 and PSP's expected 6 million each. Sony's recent-launched PlayStation Portable handheld is also, according to Piper Jaffray, believed to receive a hard drive upgrade at some point in 2006, to better entice consumers away from Apple's iPod. At present, Sony has made no announcement of any change to the existing PSP line, from price point to features.