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The Next Game

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DQI Bureau
New Update

Microsoft, Nintendo, and Sony have all announced next generation video-game

consoles, during the recent Electronic Entertainment Expo (E3) and the Games

Developers Conference in the US. All three are expected to hit the market only

over the next year and a half. With high-definition graphics, incredibly fast

processors, and surround sound, they are all set to revolutionize the gaming

experience.

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With close competition, the scope of integration is even higher. Be it

interoperability with PocketPCs, PalmOne handhelds, mobile handsets, to name a

few. Additional uses like video chat, movie playback are no-brainers. Gaming

development would become even more difficult with new architectures in place.

How would the techno-Utopias be implemented?

Following the line of convergence, Sony is reportedly said to make

PlayStation 3 an entertainment server in the home and replace VCR and DVD player

under the television in the living room, thereby bringing convergence between

games, movies, music, broadband internet and downloading.

Next comes Nintendo. Sporting an unconventional software and input mechanism

as the way to tap the hard-core game players, it was the first to announce the

next generation gaming console at the Games Developers Conference in March 2005,

code-named Revolution. While the release date is unknown, it was also announced

that the console will have an built-in Wi-Fi to wirelessly play games over the

Internet.

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The unified interface of Microsoft's Xbox promises to provide a central

location for players to connect over the Internet and access planned

mini-transaction system that would enable players to buy small chunks of

downloadable content. Meanwhile, Nintendo and Microsoft are partnering with IBM

and ATI Technologies to develop their systems' main CPUs and graphics chips,

while PlayStation 3 will be built in collaboration with IBM and Toshiba.

The Stats 
- Sony was the first to hit the gaming console market with the top-selling PlayStation in 1995. 



- Gaming revenues, including hardware, software, mobile and online will grow to $39 bn by 2010, according to Informa Media Group worldwide. 


- Console software, which is supposed to be the largest component of the total gaming revenues market, will grow faster over the next four years than any other entertainment or media market, according to research firm ResearchandMarkets. 


- Sony shipped about 5 mn units, making up 42% of the market, while Microsoft shipped about 3.4 mn for 28.3%
in 2004, according to IDC. Nintendo shipped 2.5 mn consoles for 21.2% of the market.




So far so good. But are these console transitions leading to increases in

game development costs? The fact remains that these new consoles are generally

updated as part of the five-year transition cycle. They will surely hit the

market from a loyal enthusiastic user base perspective. Equally, they tend to

make game development even more difficult.

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With Sony and Microsoft opting for new Cell Processing technology and

Multicore Processor technology, respectively, it's an increasing concern for

developers with new architectures in place. There's a ripple of anxiety over

the game industry becoming more like Hollywood, with huge budgets, huge

productions and lots of sequels, dominated by a few big companies who can afford

to produce a top-shelf title.

With the console software market booming, companies like Microsoft are

evaluating the Indian opportunity. "We don't have a gaming division in

the Indian center so far because we haven't looked to understand what kind of

gaming expertise is available here," said Microsoft corporate VP of

developer division S Somasegar on his recent visit to India. "But we are

talking to the gaming guys to figure out how we can fit into that unit."

Sunitha Natti CyberMedia News

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