The pressure from smartphones and tablets on the gaming industry is forcing companies like Sony and Nintendo to reevaluate the demand for dedicated gaming handheld devices in the future.
Reasons Why Mobile Devices are Eating Into The Gaming Market
- Device capabilities have improved/keep improving significantly
- Huge range, choice and easy availability through app stores
- Lower price points enabled by “free” games, $ 1 price points and lower priced handsets
- Phone and tablets are always with you
- Phones and tablets have taken handheld gaming to the young adults and even to older age groups
- Social media gaming on smartphones and tablets is on the rise
Despite all this, all is not lost for the handheld console vendors. The reality, though, is that until mobile phones get exclusive big-budget, AAA games, which is unlikely as it stands today, majority of core audiences who continue to help those games sell will stick with home consoles.
Furthermore, handled consoles will still be relevant to kids. For more on this topic, please read our Whitepaper
 Source: Handheld Gaming Devices in Downward Spiral to Niche Status Thanks to Tablets and Mobile Devices,ABI Research, July 7 2012
 Source: App Annie & IDC Portable Gaming Report, Feb 21, 2013
By Ajith Sankaran/ Ishma Siddiqi