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Analysts predict hardware, software drops in February NPD

In advance of NPD sales results for February 2010, analysts are predicting year-over-year declines for pretty much everything. Wedbush Morgan analyst Michael Pachter, according to Gamasutra, is predicting that hardware and software sales will decline 10 percent, with Wii hardware sales hit particularly hard (around 40 percent) due to shortages. Beyond the Wii, the continuing decline of the music genre is partly to blame for the reduced sales.

Analyst Colin Sebastian is guessing at a 15 percent decline, despite encouraging early sales for games like Heavy Rain and preorders for games like Battlefield: Bad Company 2 (which, as an early March release, may fit into the NPD February sales period) and God of War III. The fact that high-profile games are likely to show sharp declines after strong first-week sales will prevent software trends from turning for the better.