Wednesday, June 15, 2005

Video fans not warming to PlayStation Portable

Sony's hot-selling PlayStation Portable (PSP) has not yet become an immediate threat to hard-drive-based portable video devices, according to a report from market research group Parks Associates.

The report shows the PSP still appeals to mainly gaming-oriented consumers. Among PSP intenders, the top factors influencing their interest were graphics (34 per cent), gaming capabilities (29 per cent), and an extensive game catalog (29 per cent), all gaming-related product attributes. Only six per cent ranked video playback as the main extra feature driving their interest, whereas significantly higher percentages of intenders cited features such as wireless connectivity (17 per cent), a hard drive (19 per cent), and TV connectivity (20 per cent) as most desirable.

'Gamers' enthusiasm for the PSP hasn't spilled over to consumers who like video on the go,' said Harry Wang, research analyst at Parks Associates. 'This news is good for manufacturers of hard-drive-based portable video players, who have been concerned the PSP would adversely affect demand for their products.'

The PSP could become a bigger threat, according to Wang, depending on how quickly Sony can build a sizeable library of video content for this platform. But the PSP is just one of many challenges confronting the companies in this market.

'Portable video players face additional adoption hurdles, including price, content availability, and competition from smartphones or multimedia PDAs,' Wang said.

From the article "Video fans not warming to PlayStation Portable - report," by Leigh Phillips.

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