Nov 10, 2011

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iOS and Android Grab 58% of U.S. Portable Gaming Revenue

iOS and Android Grab 58% of U.S. Portable Gaming Revenue

Flurry, the mobile analytics firm, reported today that portable gaming is continuing in its shift from handheld systems dedicated to gaming to mobile devices and smartphones that serve multiple purposes. This report comes from results compiled by Flurry from NPD market research and Flurry’s very own app data.  The results are pretty impressing and makes me think that Nintendo and Sony might need to keep an eye out for the iOS and Android devices.

According to the research done by Flurry, iOS and Android devices account for 58% of the portable gaming revenue. This is almost a complete flip of last year’s results in which Nintendo boosted 57% of the revenue. Sony’s stake in the revenue had only decreased by 3%, from 9% in 2010 to 6% this year.

The most striking trend is that iOS and Android games have tripled their market share from roughly 20% in 2009 to nearly 60% in just two years. Simultaneously, Nintendo, the once dominant player, has been crushed down to owning about one-third of market in 2011, from having controlled more than two-thirds in 2009. Combined, iOS and Android game revenue delivered $500 million, $800 million and $1.9 billion over 2009, 2010 and 2011, respectively.

While the figures for the final two months of this year are just estimates, Flurry suggests that the growth for mobile devices is only going to get stronger and has no signs of slowing down. The free and low-cost games that might offer in-app purchases have played a major part in swaying the revenue towards mobile devices.  Along with the fact that games are overall cheaper on the mobile devices compared to those available on handheld consoles.

From the looks of it, Nintendo might have to look into expanding their games to other platforms, especially the mobile ones. If they continue to follow their long-standing tradition of keeping titles on their own consoles, it could turn out badly for the company.

[Source: Flurry via touchArcade]