'Halo 3' Could Be Godsend Xbox Needed
Updated from 6:30 a.m. EDT
SAN FRANCISCO -- Microsoft (MSFT) has plenty of reasons to celebrate this month. The company's blockbuster game, Halo 3, topped the September game charts, and sales of its Xbox 360 console came out on top for the first time among the latest generation of hardware consoles.
Up to now, analysts have been betting that over the next 12 months Nintendo's Wii would continue to hold the top spot in the latest-generation console market, with Sony's (SNE) PlayStation 3 and the earlier-released Xbox 360 in a dead heat for second place. Currently, the Xbox 360 has outsold the PS3.
But industry observers said the latest results indicate that the Xbox 360 console could move ahead of both rivals in the next few months.The best-selling Halo 3 has shown that it can drive hardware sales and that there is room for another price cut in the console, analysts say. And with more big titles coming during this holiday season and early next year, Xbox 360 console could move ahead of Sony's PS3 in the next few months and even overpower the Wii in the long run. "This is really Microsoft's holiday season," says Billy Pidgeon, an analyst for research firm IDC. "They have some really great software out there for the console and more coming, a great installed base, high attach ratios (the number of games sold for each console) and great spending online." The strength of the Xbox 360, which was released in November 2005, was demonstrated in last week's monthly game sales data from The NPD Group, a research firm. Microsoft's biggest release of the year, Halo 3, sold 3.2 million copies in just 12 days after its release. More importantly, Halo 3 helped move game consoles as Xbox 360 sales
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV