Flurry: iPhone overtakes PSP in game software revenue

The iPhone OS has overtaken Sony’s Playstation Portable in terms of U.S. portable game software revenue, according to a new report from Flurry Analytics. Using publicly available market data from NPD, estimated Nintendo DS and Sony PSP game software sales, and iPhone games sales estimated using a combination of data from both Apple and the company’s own app-tracking analytics service, the iPhone OS as a platform increased its share of U.S. portable game software revenue from 5% in 2008 to 19% in 2009. In the same time period, the Nintendo DS’ revenue share fell from 75% to 70%, and the PSP’s share fell from 20% to 11%, leaving it behind the iPhone OS. Apple’s overall share of U.S video game software revenue, which includes revenue from console software sales, increased from 1% in 2008 to 5% in 2009; Flurry speculates that the launch of the iPad could lead to more increases for the iPhone OS platform. “With the iPad featuring a larger screen and more processing power, games on the tablet take a step closer to PC and console gaming,” the report states. “Unless the other major video game platform providers (i.e., Sony, Nintendo and Microsoft) respond accordingly, Apple could continue to roll up video game market share.”