Apple nos video jogos?!
Apple's move into the console hardware market is 'a distinct
possibility' according to Prudential analyst Jesse Tortora.
The research company believes that Apple could combine technology from
some of its leading products to create a home console, supported by the
continued evolution of its market-leading iPod device.
"We think the videogame market represents a distinct possibility for
Apple, especially considering that it recently announced the
availability of videogames for its iPod through its iTunes store,"
Tortora said in a note to clients.
"The game console device could be morphed out of some combination of the
MacMini and iTV, while the handheld player could be developed as an
enhancement for a future version of the widescreen iPod," explained the
analyst.
However, the reality that hardware costs in the videogame industry are
often taken at a loss, later recouped by software sales, would represent
a real change of business for Apple, which has traditionally made
profits from hardware sales.
"The videogame console market is notorious for subsidising hardware to
sell profitable games. Apple would have to either rely on the sales of
its games and downloadable movies to make enough profit to cover losses
on hardware or figure out a strategy to make profits on hardware
itself," said Tortora.
Tortora believes Apple's move into videogames would be taken to defend
its position in the home entertainment sector, a market that rival firm
Microsoft has recently made aggressive moves in with the launch of
downloadable TV and movie content for the Xbox 360.
"There are no technical limitations to this capability, and Microsoft is
already aggressively wooing the movie studios," noted the analyst. "This
could adversely impact Apple's iTunes Movie download business longer-
term, along with its iTV and video iPod sales."
Apple recently launched a limited videogames download service for the
iPod, and has hired games developers specialising in both hardware and
software, according to Tortora.
http://www.gamesindustry.biz/content_page.php?aid=21550
possibility' according to Prudential analyst Jesse Tortora.
The research company believes that Apple could combine technology from
some of its leading products to create a home console, supported by the
continued evolution of its market-leading iPod device.
"We think the videogame market represents a distinct possibility for
Apple, especially considering that it recently announced the
availability of videogames for its iPod through its iTunes store,"
Tortora said in a note to clients.
"The game console device could be morphed out of some combination of the
MacMini and iTV, while the handheld player could be developed as an
enhancement for a future version of the widescreen iPod," explained the
analyst.
However, the reality that hardware costs in the videogame industry are
often taken at a loss, later recouped by software sales, would represent
a real change of business for Apple, which has traditionally made
profits from hardware sales.
"The videogame console market is notorious for subsidising hardware to
sell profitable games. Apple would have to either rely on the sales of
its games and downloadable movies to make enough profit to cover losses
on hardware or figure out a strategy to make profits on hardware
itself," said Tortora.
Tortora believes Apple's move into videogames would be taken to defend
its position in the home entertainment sector, a market that rival firm
Microsoft has recently made aggressive moves in with the launch of
downloadable TV and movie content for the Xbox 360.
"There are no technical limitations to this capability, and Microsoft is
already aggressively wooing the movie studios," noted the analyst. "This
could adversely impact Apple's iTunes Movie download business longer-
term, along with its iTV and video iPod sales."
Apple recently launched a limited videogames download service for the
iPod, and has hired games developers specialising in both hardware and
software, according to Tortora.
http://www.gamesindustry.biz/content_page.php?aid=21550