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  • Is Portable Gaming Apple's Next Conquest?


    In this morning's Wall Street Journal, the venerable financial newspaper touched on the study published this weekend by DFC Intelligence that predicts that games for the iPhone and iPod touch will be the" principal drivers for growth in the overall portable and mobile gaming market" within a period of only five years.

    Although Apple and its designated spokespeople have always offered the left-hand compliment that portable gaming devices like the DS and PSP are awesome yet strikingly inferior to the iTouch, for example, Apple is yet to truly back up that confidence with an all-out push for mobile gaming dominance. I guess you could say that portable gaming just hasn't been their "thing."

    But that will likely change.

    DFC, which is based in San Diego, estimates that the overall market will grow by just 8% to $11.7 billion by 2014 from $10.9 billion in 2008. The bulk of that–about $6.3 billion–will still come from dedicated portable game devices like the DS and PSP, but that market will shrink by about 27% from 2008 over that period. Revenue from iPhone and iPod touch games, however, are expected to soar to more than $2.8 billion in 2014, compared with a mere $46 million in 2008.
    In other words, Apple may not even have to make a conscious decision about placing greater emphasis on portable gaming. The revenue streams from what's already available (and becoming available in the Ap Store) could be sufficient to prompt Apple to consider themselves to be among the portable gaming giants of the industry.

    In recent days, for example, a wide range of popular new games from EA were introduced for the iPhone and iPod touch: "NBA Live," "EA Sports FIFA 10," "Mystery Mania," "BOGGLE," and "Command & Conquer Red Alert." What do all of these games have in common? Apple didn't spend a fortune making them, yet they stand to make a fortune by virtue of their mere existence and availability through the app store.

    “Dedicated portable game systems are not going to go away, but Apple is really driving the growth,” said David Cole, an analyst with DFC.
    So here's the million dollar question. If Apple is really in the driver's seat, how long before Apple either wakes up and realizes it ... or begins flexing the muscle it has and ramps up efforts to become the dominant mobile gaming force it has the potential to become?

    Image via theiphoneblog.com
    This article was originally published in forum thread: Is Portable Gaming Apple's Next Conquest? started by Michael Essany View original post