1° generation

OdysseyThe first home video

game system

1966 1979Atari

The first home video

game console

Nintendo

1989

Sega

2006

Nintendo WiiNew console with a new type of

controller (three dimensional motion and acceleration

1991

mid ‘70-mid ‘80Rapid growth of the home video game market.New entrants, still Atari dominates

Arcade game.Vertical structure: Atari fabricated the console, the hardware and the game.

Microsoft Xbox 360New console of Microsoft with

internet connectivity (Xbox Live)

Super Nintendo

1994PS 2000

PlayStation 2The new console of

SonyAbility to play

DVDs

mid ‘80-1990Rise and success of Nintendo

.

● monopolistic practices● patents● internal ultimate product assembly● outsourcing manufacturing● focus on high quality games/software● Variety on games

1996Nintendo 64

Watershed point:market saturated with poor quality product; Atari bankrupted. Market plummeted.

X BOX

2001

1994-2005Sony entrance and success in the market.

● 3D innovative technology● lower costs strategy (CDS and DVDs)● focus on high n°of game titles

2004

Nintendo DSThe first portable gaming device

2000 2006

THE ERA OF ONLINE VIDEO-GAMING.Console wars Re-ignition. Companies competing over new online features and technology

2006 onwards.

Nintendo with its WII radical innovates the market and triumphs over

competitors. Phisically and socially played games changed the meaning of video gaming. INTERACTION.Radical product innovation made viable by cutting-edge technology and core technology innovation

PlayStation 3BluRay technology

300$

SEGANFL 2K1Phantasy star onlineFirst online “massively-multi-player”

Nintendo declines

Microsoft :

● invests in online features● community creation of users● talent acquisition

cassettes

CDs

variety of games

Facility to find games

Nintendo Wii’s innovation scope was radical, core, generational, competence enhancing and disruptive from the users’ knowledge perspective. It tapped needs no one else had thought before.

Acquisition of talented external developers becomes common strategy to all major competitors, along with extreme software fragmentation

Home Video Game Market-A timeline-

Francesco Aliprandi - Silvia Podestà- Luisa Figueroa

Home Video Game Market