Thursday, May 23, 2013

Could Apple Make A Move Into Video Games?

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No single company has come to dominate digital content as much as Apple.  Most music, movies and TV shows sold and delivered online is sold through iTunes.  The single most popular content apart from music is games for iPhones, iPod Touch and iPad, naturally rumors have been swirling that Apple will make a move into the video game industry taking on Microsoft, Sony and Nintendo. 

Now more than ever could be the time for Apple to get into video games not just portable handheld gaming where sales of Nintendo's DS systems and Sony's Playstation Portable and Vita systems have seen large declines due to the popularity of iPhones and iPod touches.  For numerous reasons moving into home game consoles could lead to new success and revenue for Apple. 

Well established platform:  With iOS powering Apple's handheld devices as well as Apple TV, there are already is millions of potential of devices and millions of potential gamers already out there.  Using an Apple TV as the home console and iPhone or iPod Touch as controllers gives gamers a low cost of ownership because they are using Apple hardware they already own but gives Apple room to sell that one piece of hardware that potential gamers don't already have most likely the Apple TV.

Established relationships with game developers:  No video game system can be successful without game software for customers to play.  With iOS devices as ubiquitous as they are game developers and publishers from the giants like EA and ActiVision right to the independents making games for iOS a supply of games is already guaranteed to be there.

If Apple ends up taking on  Microsoft, Sony and Nintendo the video game industry which has seen lackluster sales in the past few years, will get a shot of new life that it desperately needs.  The established giants of the industry will be getting a competitor they simlpy cannot ignore.  Apple is already bigger than Microsoft, Sony and Nintendo and can crush any of them if Apple gets a chance.

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