iOS and Android Claim 58% of US Portable Game Revenue

You would have thought by now gaming companies like Nintendo and Sony would have started to offer games for mobile devices. Despite so many wake up calls, they are choosing not to act on it. By not doing so, they are harming their own interests. Really foolish. For example, Nintendo reported a $923 million loss just a few weeks ago.

iOS and Android games

Today, a new report from mobile analytics firm  Flurry revealed  that it has been a disastrous year for portable gaming machines like the Sony PlayStation Portable and the Nintendo DS. New data reveals that iOS and Android are capturing a significant share of U.S.’s portable game revenue in 2011. Flurry revealed that free and inexpensive games from iOS and Android devices have taken control of the portable gaming market. Shockingly, both mobile platforms controlled 58 percent of revenue in 2011. This is a significant change from 2009 when the Nintendo DS commanded 70 percent of the portable industry’s revenue. Wouldn’t it be cool if games like Zelda and Pokemon were available on mobile devices? Yeah, I think so too.

You thought that was brutal? Just wait until you read the next part. Nintendo (the leader in video games) saw its  market dominance shrink to just an estimated 36 percent of the U.S. portable gaming market in 2011, while Sony’s PlayStation Portable platform is expected to represent 6 percent domestically. Holy moly! How times have changed. When I was a kid, portable gaming used to be a hot market, but now it is quickly vanishing. I don’t even see people around here using portable gaming devices anymore. Unreal.  In fact, the success of smartphones has prompted invested Nintendo to brings its popular video games to platforms like the iPhone and iPad.

“The days of paying $25, or more, for a cartridge at a retail store may soon end,” Farago said. “Further, the installed base of iOS and Android devices has not only reached critical mass, but also continues to grow at unprecedented rates.”

Why these gaming companies are not listening to the press, analysts, and consumers is beyond me. This is the one time they should. If this is how much mobile devices are affecting gaming companies, just imagine what effect AirPlay Mirroring in iOS 5 will have. With an Apple TV hooked up to a high-definition TV, an iPhone 4S or iPad 2, what’s the need for video game consoles? Firemint, the developers of Real Racing has already proved more disruption is on the way.

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Parth Dhebar

Parth Dhebar is a 18 year-old entrepreneur. He is the founder of Simple Reviews, a blog focused on reviewing iPhone and iPad applications. Parth is a recognized name in the industry, known for covering Apple news. He is an editor at Techie-Buzz covering news on Apple. You can follow him on Twitter @pdparticle.