industry news
Microsoft Responds To March NPD Sales, Seems Pleased
Posted by Luke Plunkett at 12:40 PM on April 18, 2008
Not a bad month for MIcrosoft, all things considered. They beat the PS3, and at this stage of the console wars, that's probably all that matters to them. And yet, their NPD gloating for the month still feels...restrained. Defensive. Reliant on pointing out revenue, attach rates and supply shortages, all of which are boring.
The parts not dealing with said shortages and attach rates read less like a post-coital NPD cigarette and more like an advertisement for GTAIV, with the company crossing their hearts and hoping to die that not only will they have plenty of consoles out to retailers for the game, but that the promise of XBL multiplayer and DLC will help them shift a bucketload of 360s in April. Which is all well and good, but we're talking about March's NPDs here, Microsoft, not April's. Keep on topic, please.
Consumers continue to make the ultimate vote for Xbox 360 as the console of choice by investing $US 9.4 billion to date this lifecycle in the Xbox 360 experience, far outpacing that of other game consoles. (March NPD data)Going into March, some key U.S. retailers were still experiencing the trickle down effect of Xbox 360 console shortages. By the end of March, supply issues had improved and we expect retailers to be fully stocked with Xbox 360 consoles in time for the "Grand Theft Auto IV" launch. According to NPD, 262,000 Xbox 360 consoles sold in March, reclaiming the #2 position in the next-gen console category.
In just two weeks, Xbox 360 will extend its industry lead with the year's most anticipated game launch, GTA IV. Launching April 29, GTA IV will be coming to Xbox 360 on day one. GTA IV will feature the first ever online multiplayer for the franchise and Xbox 360 is also the only place you can earn GTA IV Achievements and increase your gamerscore.
Starting this fall, only Xbox 360 owners will have access to exclusive GTA IV episodic content. Whether it's the results of online polls or data from pre-sells, consumers have made it clear that the benefits of Xbox LIVE and exclusive access to GTA IV episodic content are making Xbox 360 the chosen place to play GTA IV.
Xbox 360 drives industry growth with record attach rates
· March NPD data shows a new U.S. Xbox 360 software attach rate of 7.5, a record for any game console.
· In Europe, Xbox 360 continues to enjoy the highest software attach rate of any game console with more than 7.0 games sold per console (PS3: 3.8; Wii 3.5) after 27 months on the market..
· Xbox 360 sales in Europe have more than doubled in the wake of recent retail price changes, solidifying its leadership position as the number one next-generation console in EMEA, owning 42% of the market in terms of life-to-date revenue. (Microsoft estimates based on ChartTrack and Gfk data).
· Third party publishers find more success on Xbox 360. In March, Xbox 360 accounted for $US 220 million of all third party game sales this generation, or 49 percent of share. Third party publishers win on Xbox 360 more than any other platform. (March NPD data)
· Games for the Xbox 360 platform accounted for four of the top ten games for this generation. (March NPD data)
Xbox 360 most widely used system for online gaming
· Xbox 360 delivers social entertainment experiences to more than 10 million Xbox LIVE gamers around the globe. (Microsoft internal data)
· On April 2, NPD released a study called "Online Gaming 2008" which reported that 42 percent of people aged six to 44 play video games online. Their console of choice? Xbox 360. Half of online gamers prefer the Xbox 360 over other current-generation gaming consoles. ("Online Gaming 2008")
· Xbox LIVE now delivers 4,800 hours of TV and movie entertainment including family favourites like "Hannah Montana," "Lost," and "Superman III."(Microsoft internal data)
Xbox 360 is the gaming platform of choice—our great games and exploding online community will help keep it that way.

Comments (AU Comments · US Comments)
Jacob
Posted April 27, 2008 6:24 AM
I got love for Microsoft, Sony and Nintendo, not just because of their newest consoles, but because of their long lines of great products from each company. Microsoft has Windows, MSN Messenger, Halo, and many more. Sony has Bravia, OLED, Sony Pictures, and a lot more. And Nintendo paved the way for all current consoles with the original Nintendo, Super Nintendo Entertainment System (SuperNES or SNES), and the world famous Mario character who is now over 20 years old.
With that praise out of the way it’s time for some truthiness. I have recently come to loathe Microsoft and Sony. I still love their products, but I hate the PR reps each company has employed. Each company’s gaming division is so hell-bent on trying to sing their praises about their own consoles, attach rate, as well as their hardware & software sales that it’s sickening. I play both of their systems; some weeks I’ll play one more than the other, but it’s pretty evenly split these days. I don’t buy a game because Sony or Microsoft PR reps say I should, I’m like most consumers who read reviews, listen to friends and colleagues, some times rent the game before buying it, and making up my own mind. Even multi-platform games, I have bought a pretty even amount of games for each console (not so much for my Wii though).
Come on guys and girls, before buying your 360 did you inquire about the hardware quality (RROD that we’ve almost all had)? And before buying your PS3, did you really look at how many games were available? I know I didn’t. I bought my 360 because it was the newest system at the time and I wanted to upgrade my regular X-Box. I bought my PS3 and Wii for the same reasons; they were the newest consoles out at the time and I wanted to upgrade my PS2 and my dust-collecting GameCube. It had nothing to do with any advertising, marketing, or word of mouth, I’m just a sucker for owning the newest gaming console and what gamer isn’t?
What I’m trying to say it that these figures listing in this article are so redundant and overplayed that I would rather eat buckshot for breakfast before listening to Microsoft’s or Sony’s PR reps talk about their gaming division and/or any of their sales figures. If you’re a fanboy of any one console you probably regurgitate every stat about your console of choice and sound like a fool while doing so, but it’s doesn’t make you sound knowledgeable and it won’t help you during mating season so the joke’s on you.
AverageJoes
Posted 1:24 PM 18/4/08
@deathbunny: HOLY SHIT! nobody remembers M.A.S.K.! I used to have almost as many of them as I had original Transformers and He-Man! They were pretty badass!
AverageJoes
PaulHunter
Posted 1:22 PM 18/4/08
I agree with Pachter when he says that the main reason Microsoft is hyping GTAIV's DLC is to convert 360 silver members into gold members. There will be millions of copies sold for 360 and if Microsoft can capture a portion of these users they will make a ton of money from the $60 Live membership.
PaulHunter
deathbunny
Posted 1:21 PM 18/4/08
Seriously? Nintendo gets Serpentor, Sony gets a Transformer, and MS gets some Hanna barbara cel?
Couldn't you have at least picked skeletor or mum-ra? I mean, there's classic villainy *out* there, for the plucking. I'd have settled for whoever the M.A.S.K. badguy was...
deathbunny
NessD12
Posted 1:20 PM 18/4/08
The attach rate is believable. The console's been out a shitload longer and i can understand people haven't boguht as many ps3 games. They're freakin expensive an there's cheaper 360 games out than there is ps3 games and a little bit more. Not neccessarily quality ones but there is more to pick from in the budget range
NessD12
splines
Posted 1:18 PM 18/4/08
Next month should be very interesting to watch.
splines
GordieHoweHatTrick
Posted 1:16 PM 18/4/08
"Xbox 360 is also the only place you can earn GTA IV Achievements and increase your gamerscore"
I don't know why, but I found that weird.
But damn, that attach rate is nasty!
GordieHoweHatTrick
neoraul20
Posted 1:16 PM 18/4/08
Blah, blah, blah
neoraul20
ultraViolence
Posted 1:14 PM 18/4/08
360 FTW
ultraViolence
Makidian
Posted 1:10 PM 18/4/08
Only 5k units...
Makidian
okenny :)
Posted 1:03 PM 18/4/08
Something deep within me is saying that on Apirl 27 that GameStop, Walmart, and Target will have 360 SKUs stacked up to the ceiling. I think MS not only manufactured the shortage to make sure they blow up the retail scene when GTA4 drops but they may have also wanted to dry up the RROD systems to make sure they hit their warranty limit later this year.
The only thing I don't like about the MS strategy is that they have no GTA4 bundle which feels silly. Maybe that's the trade off T2 make with Sony since MS has an exclusive DLC agreement (yes...which they paid foe -_-).
okenny :)
DARTH_TIGRIS
Posted 1:03 PM 18/4/08
@Luke Plunkett:
"The parts not dealing with said shortages and attach rates read less like a post-coital NPD cigarette and more like an advertisement for GTAIV, with the company crossing their hearts and hoping to die that not only will they have plenty of consoles out to retailers for the game, but that the promise of XBL multiplayer and DLC will help them shift a bucketload of 360s in April. Which is all well and good, but we're talking about March's NPDs here, Microsoft, not April's. Keep on topic, please."
C'mon, Luke, Sony did the exact same thing but even more so as they went even PAST GTA IV. Don't do this.
DARTH_TIGRIS
PapaBear434
Posted 1:02 PM 18/4/08
@AverageJoes:
The Wii fits into a slightly different category. Games that are a little more...
Well, there's no way I can say without sounding condescending. So, why not just say they are the "next gen systems."
PapaBear434
Lanhoj
Posted 1:01 PM 18/4/08
software still sells far better on he 360 and has almost dbl the attach-rate, NICE!
that said, they seemed to be grasping at straws this month hanging onto GTA IV. YES it will sell ALOT and YES it will sell better by far on the 360 due to the upcomming DLC, but cmon, atleast mention some other games comming out.
seems like both camps are running low on exclusives lately so now it will really come down to who has the better machine and better online-play.
Lanhoj
DARTH_TIGRIS
Posted 12:59 PM 18/4/08
Aren't these statements (often a rote read for most gamers) aimed at stockholders? In that case, I understand everything that MS, Sony and Nintendo said in response to the '100% ACCURATE AND COMPREHENSIVE' NPD numbers ...
DARTH_TIGRIS
jayntampa
Posted 12:56 PM 18/4/08
@AverageJoes: Quote: According to NPD, 262,000 Xbox 360 consoles sold in March, reclaiming the #2 position in the next-gen console category.
How is that ignoring the Wii? They stated themselves that they were second in sales.
jayntampa
sir_carrot
Posted 12:56 PM 18/4/08
Haha. I love how it's always, 'Seems pleased,' for each company.
Rarely will one admit they're displeased with their product/company/progress.
Prime examples - Uwe Boll, Hitler, Bush Jr.
sir_carrot
jayntampa
Posted 12:55 PM 18/4/08
The attach rate numbers may be boring, but I can promise you developers and publishers are paying attention.
jayntampa
Maldron
Posted 12:55 PM 18/4/08
Rainbow Brite? Yay!
Maldron
MoeB
Posted 12:54 PM 18/4/08
+ Watch video
MoeB
AverageJoes
Posted 12:54 PM 18/4/08
Anybody else think it's funny how they pretend the Wii doesn't exist?
How are they the "Industry Leaders"?
They do lead in one all important category: FUD, FUD, FUD!
AverageJoes
starscream1101
Posted 12:49 PM 18/4/08
That is a High attach rate...
starscream1101
EmeraldDragon
Posted 1:54 PM 18/4/08
@Maldron:
Is that what the picture's from? I knew I recognized it from somewhere. *drifts off into childhood memories*
Anyway. I love how no one is mentioning the Wii and how badly it is beating them.
EmeraldDragon
jsf49
Posted 1:54 PM 18/4/08
You guys fooled by the attach rates really don't understand the numbers.
jsf49
gogators88
Posted 1:33 PM 18/4/08
@okenny :):
While a bundle would have been nice, I really expect a reasonable price drop for the 360 a day or so before GTA 4 releases. The 360 is way over priced right now. 249 for a premium would be about right.
gogators88
TheManator
Posted 1:31 PM 18/4/08
Sorry for double post - but is anyone else having issues with posting tonight?
TheManator
TheManator
Posted 1:30 PM 18/4/08
@deathbunny: I believe this is Rainbow Brite...Murky Dismal to be exact, and the company that made the cartoon was produced by DiC. A little trivia too, Murky's voice was none other than Peter Cullen. Go figure, eh.
TheManator
Xiedo
Posted 2:12 PM 18/4/08
Kotaku is drawing their own villains now, I knew it...
Xiedo
TheTimelyHoward
Posted 2:12 PM 18/4/08
No way you're bringing Murky Dismal into this. Why would you bring Murky Dismal into this?
TheTimelyHoward
VeritasVierge
Posted 2:11 PM 18/4/08
It's Murky!
VeritasVierge
DragonSphere
Posted 2:08 PM 18/4/08
@deathbunny: @AverageJoes:
+ Watch video
Perhaps my most favorite cartoon intro, right next to the Thundercats.
DragonSphere
Katorok
Posted 2:06 PM 18/4/08
@jsf49: Please enlighten us oh wise one?!
Katorok
sUKi
Posted 3:17 PM 18/4/08
Does it count if they include arcade games from the arcade bundle in their attach rate? they don't make any thing clear but throw around numbers to confusing the normal people [then again why are normal people reading this :P] but then again this is microsoft throwing numbers around as always. i'm surprise they didn't decide to throw in accessories and peripherals in there. they must have saved that backup for later .
sUKi
jsf49
Posted 3:08 PM 18/4/08
Sorry for the doubleposting. I hate Kotaku's posting system.
jsf49
jsf49
Posted 3:07 PM 18/4/08
@Katorok: Additionally, it should be expected that the rate of games sold per console ought to go up faster as the console ages. The reason why is because there are more budget games as the console grows older (price of any specific game falls over time). Given its good attach rate already, when the PS3 reaches 27 months old, its attach rate will most likely be higher than 7.0. The big reason for this is because, unlike the 360 and the Wii (notice that, despite having the lower priced games and being out for about the same length of time, the Wii trails the PS3), the PS3 has not been hacked. PS3 owners *have* to buy their games. Some 360 owners and Wii owners pirate them and buy no games at all, which hurts the attach rates for their respective consoles.
jsf49
jsf49
Posted 3:05 PM 18/4/08
The rate of games sold per console should go up faster as the console ages. The reason why is because there are more budget games as the console grows older. Given its good attach rate already, when the PS3 reaches 27 months old, its attach rate will most likely be higher than 7.0. The big reason for this is because, unlike the 360 and the Wii (notice that, despite having the lower priced games and being out for about the same length of time, the Wii trails the PS3), the PS3 has not been hacked. PS3 owners *have* to buy their games. Some 360 owners and Wii owners pirate them and buy no games at all, which hurts the attach rates for their respective consoles.
jsf49
Katorok
Posted 2:57 PM 18/4/08
@jsf49: Ahh, I see..
Hmm.. Now I need to find info regarding all three consoles and their attach rate by their twelfth month.. Anyone know where I can find this?
Katorok
jsf49
Posted 2:49 PM 18/4/08
@Katorok: The 7.0 figure is across a total 27 months. What about the others? They aren't based on the same lengths. It's like saying I sold 10 apples in two years while you sold 5 apples in one year...who's the better salesman?
jsf49
marmidukestank
Posted 2:36 PM 18/4/08
Xbox LIVE now delivers 4,800 hours of TV and movie entertainment including family favorites like "Hannah Montana," "Lost," and "Superman III."
It's nice to see that critically despised 1983 superhero sequels co-starring Richard Pryor are getting represented in this day and age.
marmidukestank
Replica23
Posted 3:42 PM 18/4/08
@AverageJoes: "Anybody else think it's funny how they pretend the Wii doesn't exist?"
Or how they don't mention Japan. Looking at the actual numbers, the 360 outsold the PS3 by 5000 units:
1. Wii - 721,000
2. Nintendo DS - 698,000
3. PSP - 297,000
4. Xbox 360 - 262,000
5. PlayStation 3 - 257,000
6. PlayStation 2 - 216,000
Not only is the 360 being outsold by 3 other machines, at least 1 representing each of Microsoft's competitors, but they are neither number one in unit sales or the industry leader. In fact, if one wants to tally market share in the game industry it would go Nintendo, Sony, Microsoft.
One thing is certain, Microsoft does have the attention of the core gamer. Being a gamer since 1983 I consider myself one of these core gamers and the only thing about core gamers that never fails to disappoint: THEY BUY MORE THAN ONE PLATFORM.
I'll admit the attach-rate is pretty impressive, though when one has a strong first party line-up, 3rd party favor (better and more robust versions of multi-platform titles) and are willing to throw money around to secure exclusive content (GTA4 DLC, for example) they should be in that place. That's not to poop on them because they've done an excellent job there.
However as I said I consider myself a core gamer, I don't own a 360. And I don't own one because I don't want to worry about hardware complications or their shitty DRM system. I've heard way too many horror stories. If they fixed those two concerns I'd probably jump aboard.
Alright I've ranted enough, lates.
Replica23
RaepGoblin
Posted 4:11 PM 18/4/08
"Half of online gamers prefer the Xbox 360 over other current-generation gaming consoles."
Only half? I wouldn't brag much about that considering Nintendo's online "service".
RaepGoblin
Nexus6
Posted 4:10 PM 18/4/08
@DragonSphere: MASK was so dope. Use to have the helicopter & semi truck when I was a kid. The MASK semi truck was simply the most bad ass toy ever made.
Nexus6
photoboy
Posted 5:47 PM 18/4/08
@jsf49: The 360 had an attach rate of 4 at launch which rose to 5 a year later. The PS3's attach rate is only hitting 3.5 now, so I don't think it's correct to assume the PS3 will be in the same position as the 360 when it hits 27 months.
Also, the console buyer demographic usually becomes more casual as the system drops in price. So really the attach rate should be levelling off, but instead it's still going up, which suggests MS is not breaking out of the hardcore market to the more casual gamer (we all know what the casual gamer buys now)! Which means software sales on the 360 will probably be the strongest of all 3 systems this generation, but that MS run the risk of running out of steam on the hardware when the hardcore gamers dry up. Which is probably why Rare are working on the Wii-mote rip-off...
photoboy
Jax25
Posted 12:56 PM 18/4/08
pretty much what i expected them to say
Jax25
TheTime
Posted 10:31 PM 18/4/08
@okenny :): What are you serious.
[kotaku.com]
In this discussion it clearly stats that both Sony and MS will have bundles!
TheTime
jsf49
Posted 1:43 AM 19/4/08
WTF is wrong with this posting system now? Why can't this place get some real blog or forum software?
jsf49
jsf49
Posted 1:40 AM 19/4/08
@photoboy: I don't know where you're pulling your figures from (though I have a guess), but 4 plus 5 does not equal 7 (as stated in the press release), my friend. Also why did you put the PS3 at 3.5 when the *Microsoft* press release says 3.8 right on it? Are we reading the same thing?
jsf49
DarthTauri
Posted 2:33 AM 19/4/08
I think microsoft is calling the Wii "last gen", in some ways one can agree.
I notice they say current gen a bit in there, and I think that may be their underhanded little way of getting down on the Wii.
DarthTauri
M.A.S.
Posted 2:07 AM 19/4/08
As much as people seem to get hung up on hardware sales and all that, all evidence points to the fact that 360 owners buy more games. Really that should be the number we pay more attention to than console NPD numbers. It is those sales that are most beneficial to the gaming economy and the growth of the industry.
M.A.S.
maniacmayhem
Posted 3:11 AM 19/4/08
Being a 360 fanboy, why the hell did we get Murky? Nintendo gets Serpentor, Sony gets friggen Galvatron and we get Murky??
Dude....SKELETOR, MUMRA...hell Cy-Kill even!
maniacmayhem
littletad
Posted 2:48 AM 19/4/08
Well if you "got it flaunt it". Seriously Luke, why the ps3 love and ms hate?
littletad
Harteex
Posted 2:35 AM 19/4/08
Maybe the PS3 attach rate is lower because some people buy a PS3 just to watch Blu-Ray movies (as it's the best Blu-Ray movie player around...)
Harteex
photoboy
Posted 4:03 AM 19/4/08
@jsf49: Why would you add together the attach rate at launch with the rate 12 months later to come up with today's attach rate? If I sell 50M games and 10M consoles the attach rate is 5 games per console. As for the source, this Gamasutra article puts it at 4 at launch and 5 a year later. Was that where you thought I was pulling the figures from then?
As for saying 3.5, I must have hit the 5 instead of the 8 key (new keyboard).
photoboy
SwindleUK
Posted 3:58 AM 19/4/08
@AverageJoes: i think its because the 360 is making the most money out of the three, 20 mill sold at good price and lots of peripherals and games sold too as well and 10mill live users means a load off cash
SwindleUK
D.Vader
Posted 3:47 AM 19/4/08
I hear the PS3 version of GTA4 will be the best one.
I still have not been answered this question. Do 360 sales figures account for the returns? If they do not these figures could very easily be off by 30%-50%. This may also be influencing the attach rate.
Honestly an attach rate of 7 isn't anything to scoff at. The system has been out twice as long as PS3 and Wii, and so far PS3's attach rate is projecting very well.
D.Vader
jsf49
Posted 4:51 AM 19/4/08
@photoboy: I add them up because that is what Microsoft is doing. Read the bloody press release. e.g., "...with more than 7.0 games sold per console...after 27 months on the market." It says 7.0 games sold per console (in Europe; U.S. figure is given as 7.5) after 27 months. How can it be any clearer than that? By the way, I think I will take Microsoft's word over yours and Gamasutra's. Sounds crazy, sure, but I seriously doubt Microsoft would underestimate its own numbers, which would mean you and Gamasutra are wrong.
jsf49
photoboy
Posted 6:20 AM 19/4/08
@jsf49: Microsoft are not adding up their attach rate at launch (4) and their attach rate one year later (5) to come up with their current attach rate (7.5). Attach rate is total software divided by total hardware, there is no addition involved.
For example in the US they are dividing total software sold ~86M by total consoles sold ~11.5M which comes to 7.5 i.e. their current attach rate. Why are you unable to grasp how attach rates are calculated or did you just not read my post and assume I was saying the current attach rate is between 4 and 5 when that's not what I said at all?
photoboy
jsf49
Posted 3:06 AM 22/4/08
@photoboy: C'mon, do I have to explain math to you, kid?
Total sales/total consoles sold = attach rate, right?
Total sales per console across 27 months is going to be higher than total sales per console across 15 months, EVEN IF WE'RE TALKING ABOUT THE SAME CONSOLE IN BOTH SCENARIOS. Do you get it yet?
Just for yucks and giggles, here's something else...in a New York Times article today, Michael Pachter offers his estimates of the *annual* attach rates for the three consoles.
Wii - 3.7
360 - 4.7
PS3 - 4.6
[www.nytimes.com]
Feel free to forward that to Gamasutra.
jsf49
freespeech
Posted 10:41 PM 22/4/08
why do you always give the 360 crap pics???????????? WHO THE HELL IS THAT GUY ANYWAY???????????????
freespeech