Sony Trumps Nintendo in Shrinking Console Market

The successful launch of the PlayStation 4 in Fall 2013 has helped Sony to reclaim the number 1 position in the video game console market. Sony trumped Nintendo in unit sales for the first time in eight years, after Nintendo's new flagship console, the Wii U, failed to make an impression with consumers.

Sony sold 18.7 million consoles between April 2013 and March 2014, as opposed to Nintendo's 16.3 million units. However, both companies suffered overall sales declines as gamers continue to switch from dedicated game consoles to smartphones and tablets. Portable console sales dropped by more than 40% for Sony and 24% for Nintendo, home console sales fell 12% and 47%, respectively.

The only company that was able to improve sales in the 12 months period ending in March 2014 was Microsoft. Bolstered by the launch of the Xbox One and continuously decent sales of the Xbox 360, the company's console sales increased 15% year-over-year.