Analyst Claims DS Hardware Sales Have Peaked

So that’s it for the DS. Now is the time to throw in the towel. The show’s over. Game lost. According to one Japanese analyst, the DS is just about finished in terms of hardware sales and, subsequently, software as well. Hiroshi Kamide of KBC Securities Japan seems to think all of this is true.

Casual gaming growth has been the primary driver for the industry over the last three years, the key player being the Nintendo DS. We believe DS hardware demand has now peaked globally. A downturn in software demand is likely to follow, as casual gamers are ‘happy with their lot’ and do not need to consume more. We feel that the same predicament awaits the Wii console with its similar market expansion angle. Titles such as ‘Brain Training’ and ‘Wii Fit’ do not act as ‘gateway drugs’ to turn non-traditional gamers to core repeat users. We feel this is a structural industry issue that cannot be easily changed.

No “gateway drugs” present in the current bag of software for either of Nintendo’s current platforms, eh? It would seem that all hope is lost for the big N, once again.

You know, I don’t really agree. Casual gamers may not be snatching up titles that I would run out to the store to get nearly every single month. I’ll buy that. But that doesn’t mean that they will be “happy with their lot” either. I honestly think that casual gamers approach games in the same exact way anyone else does; something to play for fun, to pass the time, to experience. You don’t just own one DVD. You don’t just go to the theater to see one movie. You don’t read just one book. You invest in a medium in order to stick with it, to keep getting titles and to keep experiencing what is to be experienced.

Hardware sales, well, that’s a different story. Only so many people can buy the DS anymore. Lots of folks have it. Hardware sales degrade over time as those that are potential buyers will pick it up before too long, leaving non-buyers left in…well…not buying mode. That’s science.