Video-Game Industry Sales Slow In July

Compared with June, sales for the U.S. video-game industry slowed in July, but showed strong year-to-year growth, market numbers released Friday showed.

Video-game sales in U.S. retail stores rose 28% from July 2007 to $1.19 billion, and console sales were up 17% to $446.9 million, the NPD Group reported. For the overall market, which also includes sales of software and accessories, sales for June rose to $2.4 billion from $1.9 billion a year ago.

Year to date, the industry was also well ahead of last year, $18.9 billion from $14 billion, NPD said. Video-game sales have risen 35% year to date to $9.5 billion, and console sales are up 22% to $3.3 billion. The industry as a whole is on track to achieve record-breaking revenue of more than $22 billion for the year, according to NPD.

Nevertheless, June was the hotter month for the industry. Year to year, store sales of video games and consoles soared 53% and 54%, respectively. Software and accessories rose 61% and 25%, respectively, in June, compared with 41% and 19% in July.

Nintendo's Wii console with its popular motion-sensing remote continued to outpace Sony's PlayStation 3 and Microsoft's Xbox 360 in terms of unit sales. A total of 555,000 Wiis were sold in July, compared with 224,900 PlayStation 3s and 204,800 Xboxes.

The Wii has taken the lead in total unit sales of current-generation hardware, according to NPD. Since releasing the Wii in November 2006, Nintendo has sold almost 11.5 million units through U.S. retail stores.

Sony in June had its best month in terms of PS3 sales since last year's holiday shopping season. NPD attributed the more than 405,000 units sold to the release of the game Metal Gear Solid 4, which is exclusive to the PS3.

In July, video-game fans appeared to be getting ready for football season. The NCAA Football '09 for the Xbox 360 from Electronic Arts was the best selling-game in July with 397,600 units sold. Rounding out the top five were Wii Fit With Balance Board from Nintendo, 369,600 units; Guitar Hero: On Tour from Activision, 309,700 units; Wii Play With Remote from Nintendo, 284,000 units; and NCAA Football '09 for the PS3, 242,500 units.

NPD numbers are for U.S. retail store sales and do not include online sales.