Microsoft Optimistic as US Suffers December Sales Slump

Hardware down 21 per cent, Microsoft celebrates console sales win.

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Microsoft Optimistic as US Suffers December Sales Slump
US market researcher NPD Group has revealed that total sales in December fell by 21 per cent - from $5.07 billion a year ago to $3.99 billion. Hardware sales in particular saw a slump of 28 per cent, but that didn't stop Microsoft from putting on a brave face, proudly announcing that the Xbox 360 outsold rival consoles in a "strong holiday sales period."

Microsoft sold 1.7 million Xbox 360s in December, and the company declared that it was the best-selling console in 2011, outpacing total annual sales of "the second-place console" by 2.7 million units. This is despite the NPD declaring that hardware sales were actually down 11 per cent for the year.

VentureBeat quotes NPD analyst Anita Frazier as saying, "Overall industry results are not entirely surprising given that we are on the back end of the current console lifecycle, combined with the continued digital evolution of gaming. Core gamers continue to be engaged and spend on established franchises across both the digital and physical format using multiple devices for different gaming occasions.

"Our overall estimate of the market continues to point toward the increased imperative for deeper visibility into digital distribution than is available today, not only in the U.S. but globally."

Of course, VentureBeat also reported that "Sony sold 6.5 million PlayStation 3 consoles in the holiday season." Anyone who read our news story about Sony's figures on Tuesday would know that's pretty much untrue on multiple levels. Never mind, eh?
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