During Activision Blizzard’s Q4 2013 earnings conference call with investors, the senior vice president of investor relations of the company, Kristin Southey, admitted that her company did not expect the next-gen consoles from Microsoft and Sony to sell as well as they have.
“Much to our positive surprise, the Xbox One and PlayStation 4 sold over 7 million units combined in 2013, faster than their predecessors did at their launch,” Southey said during Activision Blizzard’s earnings call report. “Not only do these devices deliver faster processing and better graphics, but these new consoles and continuing improvements to broadband infrastructure world-wide provide new and improved capabilities for online gaming, including same-day downloads, improved social features and new opportunities for emerging potentially higher margin business models like the sale of virtual items, downloadable content and other value-added online services that will provide a greater flexibility for our audience to access, consume and pay for content.”
She added: “The new consoles should be a catalyst for growth and margin expansion. And over the next two to three years as their install base grows, we expect to have greater opportunity to capitalize on a rapidly expanding audience, broader international penetration and more profitable business models.”
The PS4 continues to be one of the top selling consoles world-wide while the Xbox One is close behind. Of course, neither of them can compare to the Nintendo 3DS…yet.