Analyst feels the end is in sight for PS2
- Posted October 22nd, 2007 at 10:36 EDT by Michael Harradence
Deutsche Bank analyst Jeetil Patel has observed that Sony’s PlayStation 2 console could be nearing the end of its life cycle, following publication of the NPD Group’s latest hardware figures for North America.
Patel notes that sales have fallen substantially on a year-on-year basis, stating, “PlayStation 2 software sales fell 47 per cent year-on-year to $85 million, representing a deceleration from the 33 per cent year-on-year decline last month.”
“While this substantial decline was inevitable, it is currently unclear whether the drop reflects consumer transition to next-gen software or weak spending patterns amongst the low-end consumer”, he added.
“Needless to say, with tougher comps ahead for PS2 software sales, we think that the PS2 may finally be on its way out of the industry for good.”
Patel’s comments follow news that Sony bosses had pledged to support the system for a number of years to come, expecting it to run well into ten years of its life cycle.