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Mobile operators get fixed price spectrum renewal in $3b Government windfall

The Government has offered Australia's three mobile operators, and vividwireless, renewal of their existing spectrum allocated on 15 year licences in the late 90s and early 2000s at set prices, while the Government expects to rake in $3 billion.

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iSuppli thinks PS3 will be the ultimate winner – by 2011

Opinion and Analysis

Microsoft will no doubt want to question these figures, as they have boasted in the past that the Xbox 360 has the ‘highest attach rate’ of games in the industry – at least to date.

Unfortunately for Microsoft, supply problems are affecting them right now, with a PunchJump article noting that Microsoft expects this to be resolved by March this year.

Macworld also offers a report saying that 16.4% of Xbox 360’s will fail – but if they are covered under warranty, this may well be an annoyance to Microsoft that will cost it money, but at least consumers won’t be left without a games console throughout their warranty period, and you have to believe that Microsoft are breathing hard down the necks of their manufacturers to improve build quality – and fast!

Both Microsoft and Sony have also shown no fear in releasing slightly different versions of their consoles with changes in hardware specs such as larger or smaller hard drives, aimed at capturing different parts of the market. As I said previously, neither company will want to let Nintendo beat them, and they will work hard, especially this year, to try and pull ahead of the competition.

Nintendo, of course, aren’t fools either, and will work hard to create more smash hits like Wii Sports, more add-ons like the Wii Fit, and I believe they will try to do it at a price point that always undercuts the competition thanks to lower costs while still making a healthy profit for themselves as they have done since day one.

We also haven’t seen any true price drops for the Nintendo Wii, simply because they haven’t needed to, but should it happen, it would no doubt boost the Wii’s sales even further, especially in a time of financial crises where money is tight but the kids are still demanding their 21st century entertainment, with their parents needing a break from the stress of reality that they can actually enjoy, instead of mashing buttons on a controller.

So, what about the ‘content side of the video-game market’? What does iSuppli think will happen there? And what’s my final take? Please read onto Page 4...



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