The Dawn of a New Console Generation?

With the release of such blockbuster titles as Super Smash Brothers Brawl and Grand Theft Auto IV, software sales were through the roof last year. This year, with an absence of such titles, software sales are not miserable, but down compared to last year. This has industry investors feeling less confident, and has led to some believing a new generation will be released soon as a means of boosting sales. Industry analyst Michael Pachter is not one of these people, however.

According to Pachter, Microsoft and Sony have invested far too much money into the current generation. After the horrid launch that Sony sustained with the PS3, it is just beginning to hit its stride, and it has the technological chops to sustain another couple of years. Microsoft got off to a better launch, but still has a lot to gain with the 360. Pachter doesn't see either of these companies making a new console until around 2013.

The exception Pachter made to the consoles was the Wii. Unlike Sony and Microsoft, Nintendo created a console that made money from day one, and Pachter noted that there may be an HD Wii coming in 2010.

This rumored release is said to come out when the Wii begins to lose its audience to the other consoles. With its older technology, the Wii will lose even more ground on the PS3 and Xbox 360, and fans may cry out for better graphics on the Wii. At this point, Pachter notes that Nintendo may release a newer Wii with updated technology to continue to compete.

What is your take on the next generation? When will we see it?