Nintendo on Track to Overtake Sony as Video Game Market Leader in China
Although the PlayStation 4 has reigned supreme in China, it looks like the Nintendo Switch is turning out to be quite the contender. The Switch has been breaking sales records all over the world this year, and it looks to be next in line to be number one in China soon as well.
In spite of a rough, delayed launch of the PlayStation 4 in China, Sony's 4th console has been a hit in the country. China hasn't been a friendly market for consoles in the past, considering they were once illegal in the country, but Sony has held onto the console market's number one spot for a long time.
Niko Partners, a "market research and consulting firm covering video games, esports, and streaming in Asia," has some game-changing forecasts for Sony's hold on the Chinese market. Niko projects that while Sony is currently the market leader in the country, the Nintendo Switch is catching up fast.
High sales of the Xbox Series X and Switch in China, which boasts 11 million console gamers, has greatly reduced Sony's hold on the very small console market. Niko estimates that more than 19 million Chinese will be buying consoles by 2024, expanding to include more variety of consoles in the future, but mostly not from Sony.
The vast majority of the Chinese gaming market focuses on free-to-play mobile games and some PC usage, leaving only about 1% of sales for consoles. But the amount of consoles, especially Switches, continues to grow thanks to chart-topping titles like Animal Crossing: New Horizon and Ring Fit Adventure, which was recently brought to China.
The coronavirus seems to be part of the catalyst for this change. Gaming cafes and internet lounges, which were popular in China, are less accessible with a global pandemic infecting the world. Gamers who are used to spending their time gaming at a café are now looking for other gaming avenues; Niko Partners mentioned in their report that of those surveyed, 57% of internet café regulars are not planning to return even after the COVID pandemic is over. This has lead to a massive increase in mobile gaming in China as well as the growth of personal consoles, along with the slowing of PC game time.
Although Nintendo President Shuntaro Furukawa has stated in the past that he feels that the Xbox and PlayStation's new consoles won't affect the sales of the Switch, nobody said anything about the Switch not affecting the sales of the others.
Source: NintendoLife, VentureBeat
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