Nintendo: It has the Power

Nintendo recently announced a financial report showing a rise in revenue over last year by 70%. This is mostly attributed to the DS Lite, a handheld console that has been driving change in the gaming market. The DS Lite is different from other devices since it boasts two screens, a touch screen and a normal screen. The DS Lite's main competitor is the Sony's PSP, a handheld console with a larger screen and better graphics abilities.

The DS Lite has sold over 10 million units for the first half of 2006, up from 3.5 million units last year. Regionally, about half of that went to Japan, 20% to the Americas, and 30% to the rest of the world.

Due to the increase in DS Lite sales, Nintendo is increasing their sales forecast to 20 million units by March 31st, up from 17 million. Meanwhile, Sony has lowered their shipment forecast to 9 million units from 12 million.

Semico Spin

Both the popularity of the DS Lite and the lagging sales of the PSP are not surprising. While the PSP has stunning graphics and a larger LCD screen, its game line up has been lacking since its release. The DS Lite however has created a new way to play games with its touch screen, and has also lined up a variety of games that appeal to every age group.

Semico recently released a gaming report, Handheld Consoles: Playing to the Top. This report forecasted the upturn in DS Lite sales and the downturn in PSP sales.