US Game Sales Fall 8% in 2011

Will Data be Used to Fuel SOPA Support? If big gaming companies in the United States and the ESA needed strong evidence to further support the controversial SOPA and PIPA...

Will Data be Used to Fuel SOPA Support?

If big gaming companies in the United States and the ESA needed strong evidence to further support the controversial SOPA and PIPA legislation, they now have it.

A report on GamesIndustry.biz today said overall industry sales fell eight percent in 2011.  The industry sold $17.02 billion of games, consoles and accessories last year, compared to $18.59 billion.

More troubling were December’s sales.  While in the heart of the Holiday shopping season, overall game sales dropped to $3.99 billion, a more than 20 percent decline versus the more than $5 billion of sales made in December 2010.  The Wii, in particular, took a big hit during the month, with sales related to that system tanking some 55 percent compared to last year, according to analyst Michael Patcher.

Software sales were also of concern.  Overall, $2.14 billion in game software was sold last month, but that’s down fifteen percent versus the previous December.

Why should you care?  If you’ve been following the SOPA debate closely, you absolutely should.  The main reason the Entertainment Software Association supports SOPA, as was reported last week, is due to, in their words, “blatant illegal piracy,” which in turn, according to them, “restrict(s) demand for legitimate video game products and services.”  The truth may be that Wii sales were carrying the industry for a while, and that ship has sailed in preparation for Wii U.  To be sure, the report also suggested the XBOX 360 was the best selling console of 2011, and software sales on both XBOX 360 and PS3 rose 5 percent last month.  Nevertheless, under the pretense of piracy, one only needs to look at the more than billion dollar decline as described above to see where the ESA and others can make their case–ethically so or not.

These and other entertainment industry numbers may come up to compel passage when the SOPA debate continues in the US Congress next week.

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