The Digital Home

CNET's Crave on Friday reported on Nielsen's latest VideoScan figures, showing that Blu-ray Disc's market share in the video disc market has slumped in the past week.

According to Nielsen, Blu-ray's market share dropped to just 8 percent of the overall market, giving DVDs a whopping 92 percent ownership.

Granted, those figures show only one week's performance, and Blu-ray may have a huge week soon and capture more of the market, but let's be honest with ourselves: do we really think that will happen?

According to a study released in August by ABI Research, more than half the people it surveyed had no plans to buy a standalone Blu-ray player in the near future, and 23 percent are considering it, but not until 2009.

When your format is limping along with just 8 percent of the market, the last thing you want to hear is that only 23 percent of the population actually wants a Blu-ray player.

But wait! There's always the PlayStation 3, right? Surely, everyone who knows about Blu-ray is picking up a PlayStation 3 to watch their movies. After all, won't that product be the savior for which Sony has been waiting?

Please. According to NPD's latest numbers, Sony sold just 185,000 PlayStation 3 units, which represented a 17 percent drop, compared to July sales numbers. Worse, it barely beat out the PlayStation 2, DVD player and all.

The PlayStation 3 isn't going to be Blu-ray's savior, and neither is that sub-$200 price tag. At this point, I simply don't see how Blu-ray has a chance.

Sony's President of Worldwide Studios, Shuhei Yoshida had the opportunity to discuss his company's gaming division with ThreeSpeech.com recently and although he obviously needs to toe the company line and make sure he says the right thing, what he did say speaks volumes about the state of the gaming industry.

"My role is to run first-party development, and we are always exclusive," he told the publication. "Because, in this generation, it costs much more to develop one product, it's just natural for third-party publishers trying to recoup the investment from multiple platforms. I think that's pure economic pressure, pushing most of the third parties to move from some exclusive titles to more multi-platform titles. Because we know that is the trend, we, as a company, can invest in our first-party studios; in terms of exclusive titles, our role becomes more important."

With third-party developers selling titles for multiple platforms, first-party developers will need to step in and try to create games that matter to people and make them want a console. And although major games like MGS4 are exclusive, they're becoming a rarity and it's quickly becoming apparent that first-party titles are the only games that matter.