San Francisco –Microsoft already fired its first shot. Now it’s Sony’s and Nintendo’s turn.
As tens of thousands of people gather in Los Angeles this week for the video game industry’s biggest trade show of the year, each of the console makers will be divulging details of its new main weapon in the ongoing battle for the hearts and thumbs of gamers.
Microsoft unveiled its new Xbox 360 last week with a 30-minute special on MTV. Sony is expected to give details about its new system today, while Nintendo will follow with its own announcement Tuesday.
The new Xbox will start selling this fall, while Sony’s and Nintendo’s consoles will likely go on sale next year.
The annual Electronics Entertainment Expo, or E3, at the Los Angeles Convention Center will also be filled with numerous software titles. However, much of the focus will be on the new hardware, which will set the tone for the $13 billion industry for the next several years.
The new consoles are expected to be powerful machines that would enable game developers to create more realistic graphics, smarter game characters and increasingly elaborate storylines.
However, escalating costs of making games may end up squeezing out smaller competitors who can’t afford to plunk down $15 million to $20 million for a title. In fact, the past year has been fraught with larger publishers gobbling up smaller firms as the industry continued to consolidate.
The rising costs will also put tremendous pressure on publishers to produce blockbuster titles that sell millions of copies, analysts say.
The price of games, which is typically $50 a pop now, will also likely go up.
