A report by Juniper predicts handheld video game sales will only make up 2% of the total game industry’s sales by 2018. The report states platforms like Nintendo 3DS and PlayStation Vita will barely have a presence in four years.
Analysts often note that the adoption of tablets and smartphones could significantly damage handheld video game sales for both Nintendo and Sony.
CONSULGAMER highlighted challenges facing the Nintendo 3DS, particularly the surprisingly low level of third-party support compared to prior iterations of the hardware.
Handheld video game sales are already immaterial to some game publishers.
The report is also negative on the overall game industry, predicting revenues to decline 11% by 2018, from this year’s projected $46.5 billion to $41 billion in 2018.
Still, some video game segments will grow. Cloud gaming, with forecasted revenue of $218 million this year, will grow into a billion dollar segment by 2018.
CONSULGAMER’s review of PlayStation Now, Sony’s cloud gaming service, predicted success for the platform if Sony could find the right value proposition.