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October 19, 2007, 9:14 am

Bragging Rights: Xbox finally outsells the Wii

Microsoft (MSFT) finally got the bragging rights it’s been looking for all year. Its Xbox 360 has defeated the Nintendo Wii — at least for the month of September.

For the first time this year, Microsoft sold more consoles in a single month than the red-hot Wii. Hard-core gamers just had to have the new Halo 3, and the Xbox 360 was the only console that could play it. Anticipation of the late-September release of the new game drove 528,000 Xbox sales in the U.S., edging out the family-friendly, low-budget Wii, which sold 501,000 units in September, according to figures released Thursday by the NPD Group.

And how did Halo 3 do?

The third and final title in the massively popular 3-game series not only crushed all other video games in September, it set a new record for first-day sales in any entertainment medium. Microsoft, which released the fierce, first-person shooter on Sept. 25, moved 3.3 million copies in the 12-day measuring period that ended Oct. 6. Halo had already grossed $170 million worldwide in the 24 hours after its release, setting a record for the highest grossing opening day in entertainment history, according to GamePro.

Nintendo took the distant No. 2 and 3 spots with 282,000 copies of “Wii Play with Remote” and 224,000 copies of “Legend of Zelda: Phantom Hourglass.”

“We knew Halo was going to be a blockbuster and that it was going to move a lot of consoles,” says Xbox spokesman David Dennis. “This is exactly what we expected. We said at E3 [in July] that we have the best holiday lineup compared to our competitors.”

Wii woes for the wee ones this Xmas

The Xbox is in a good position to give the Wii a run for the top spot for the whole year. Two weeks ago Nintendo said it would not likely ship enough Wiis to the U.S. to meet holiday demand. Meanwhile, the Xbox continues to ride the Halo effect, and Microsoft’s lined up another potential hit game, Mass Effect. The highly-anticipated Xbox exclusive heads to stores on Nov. 20.

Sony (SNE) has shifted its retail strategy to catch up with Nintendo and Microsoft. Yesterday it slashed its price of the PlayStation 3 by $100 to help boost declining U.S. sales. In July, Microsoft dropped the price of the entry-level Xbox by $50 to $349, and U.S. sales jumped 56% the following month. Sony hopes to do the same. It sold 119,000 PS3s in September compared to 131,000 consoles the month prior.

The top-line version of the PS3 will cost $499 compared to $599, and a new cheaper version will go on sale for $399 on Nov. 2.

“Lowering the price is an important first step for Sony,” says Colin Sebastian, an analyst with Lazard Capital Markets. “From a consumer’s point of view, $399 is a lot better than $499. But Sony still needs to find compelling software. It has to find a killer app the way Xbox has with Halo 3 or Wii Sports for Nintendo.”

Last month at the Tokyo Game Show industry conference Sony outlined a strategy by working better with third-party gaming publishers to bulk up its lineup of games.

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Ed from Ashby of Mass Quotes:

“Expect more of this as Microsoft continues to buy and hire some of the industries most talented game developers.”

I wonder why. Is it that they can’t come up with any ideas to make a really good game, or is it an act of desperation to save their own backsides from there own failing sales in the market of the Video Game industry? They should make your own talented game developers instead of buying them!!

Posted By ???,Don’t live in a city, Victoria AUS : December 24, 2007 5:55 am

The Wii is still the better system. It’s like no othyer system before.

Posted By Kevin, Miami, FL : October 21, 2007 8:35 pm

XBox sales exceeded Wii in Sept. because of the strong Halo3 offering, not because Wii didn’t have enough stock on US shelves.

Expect more of this as Microsoft continues to buy and hire some of the industries most talented game developers.

MS already has another much anticipated title to launch, this will drive console sales just like in Sept.

Expect more of this through the holiday season.

Posted By Ed, Ashby, Mass. : October 21, 2007 9:41 am

Halo isnt bloody, would be better if there was parts flying everywhere haha. Xbox still has one of the best line ups for any of the consoles. Playstation 3 is really lacking in big blockbuster games. Well see what happens when final fantasy releases on ps3 or the next rockstar game. Besides table tennis what the hell rockstar?! Wii is a childs system thats what it borrows down to. Now lets see what happens with guitar hero 3!

Posted By Koal Kansas City, Mo : October 21, 2007 12:45 am

Scott,

If you actually did any research before you actually posted your comment, you would have known it’s actually Microsoft that wishes it had the sales of the Wii console. The Wii has been pretty much sold out since lauch. That has NEVER happened with any other system. Wii is only 1 million short of catchin up w/ 360 sales as of Oct 1. And the 360 has been out for a year longer. Anticipation & hype doesn’t amount to much. Sales is what counts.

Posted By Thomas, Knoxville TN : October 20, 2007 9:31 pm

The continued comparison in terms of console sales between the Wii and the 360 is flat-out ridiculous, simply because the 360 is deeper in its life span. Anyone who has any degree of understanding of how the industry works realizes that console sales start out high, then drop over time. The fact that the 360 (which was highly, HIGHLY anticipated and had first year sales that the Wii couldn’t dream of), with all its well-documented hardware issues is still in the neighborhood with the (still novel) Wii is amazing, and speaks volumes for the 360’s capabilities, but more so for its impressive software lineup. Just end the comparisons already, please. They are completely invalid, since Microsoft is now making most of its money on the software side, not the hardware side. There’s nothing to see here, please move along….

Posted By Scott - Indianapolis, IN : October 19, 2007 9:20 pm

Good point, Michael. It is kind of violent, though, so changed to “fierce.”

Posted By yiwyn : October 19, 2007 2:59 pm

I have no idea how the Wii outsells the Xbox 360, but i give them props for coming out on top, especially since the video game industry counted them out when the Wii was first announced.

Posted By Kendall Nguyen, Thomasville, GA : October 19, 2007 2:35 pm

Yay for Xbox, but too bad it only won because Nintendo can’t keep stock on the shelves.

Posted By Kevin, Blacksburg, VA : October 19, 2007 1:59 pm

Boody? How can you call Halo bloody? Somebody needs to research a little more. Lots of killing, yes. Lots of blood, no.

Posted By Michael, Pittsburgh, PA : October 19, 2007 1:55 pm

Yawn. Nintendo is still a better family system. If the world wants to play evil games, so be it.

Posted By Chris, Pcola, FL : October 19, 2007 12:26 pm

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