Nintendo DS Drives Industry Growth In USA News

Market research company NPD Group has today revealed that much of the revenue growth of the videogames industry in the United States can be attributed to the sales performance of Nintendo DS.

Compared to the same nine-month period in 2005, revenue growth in the US stood at 11%, though NPD's report states that without the DS the rate would have been virtually nothing - a mere 1.6%.

"Numbers dramatically show the value of reaching out to the masses with products that are compelling and comfortable," says Nintendo of America President Reggie Fils-Aime. "And this perfectly sets the stage for our breakthrough Wii console, which appeals to both core players and current non-players with an intuitive control system and a price everyone can afford."

"During a home console generation upgrade, consumer interest in existing consoles tends to drop as anticipation for new consoles increases. Hand-held game hardware and software revenues have kept the industry afloat," says Billy Pidgeon, Program Manager, Consumer Markets: Gaming at IDC. "Hand-held gaming has spurred real industry growth, and Nintendo's longstanding leadership in this space continues to drive this market."

Expanding the gaming demographic has been one of Nintendo's key strategies in recent years, and it appears to be working so far as the DS in concerned. Next year's figures will be just as interesting with the release of Wii.

We'll have more news shortly...