Video game console

A video game console is an electronic device that outputs a video signal or image to display a video game that can
typically be played with a game controller. These may be home consoles, which are generally placed in a permanent
location connected to a television or other display devices and controlled with a separate game controller, or handheld
consoles, which include their own display unit and controller functions built into the unit and which can be played
anywhere. Hybrid consoles combine elements of both home and handheld consoles.

Video game consoles are a specialized form of a home computer geared towards video game playing, designed with
affordability and accessibility to the general public in mind, but lacking in raw computing power and customization.
A collection of various classic video
Simplicity is achieved in part through the use of game cartridges or other simplified methods of distribution, easing the
game consoles at a game show in
effort of launching a game. However, this leads to ubiquitous proprietary formats that create competition for market
2010
share.[1] More recent consoles have shown further confluence with home computers, making it easy for developers to
release games on multiple platforms. Further, modern consoles can serve as replacements for media players with
capabilities to play films and music from optical media or streaming media services.

Video game consoles are usually sold on a five–seven year cycle called a generation, with consoles made with similar technical capabilities or made around the
same time period grouped into one generation. The industry has developed a razor and blades model: manufacturers often sell consoles at low prices, sometimes
at a loss, while primarily making a profit from the licensing fees for each game sold. Planned obsolescence then draws consumers into buying the next console
generation. While numerous manufacturers have come and gone in the history of the console market, there have always been two or three dominant leaders in
the market, with the current market led by Sony (with their PlayStation brand), Microsoft (with their Xbox brand), and Nintendo (currently producing the
Switch console). Previous console developers include Sega, Atari, Coleco, Mattel, NEC, SNK, Fujitsu, and 3DO.

History
The first video game consoles were produced in the early 1970s. Ralph H. Baer devised the concept of playing simple, spot-based games on a television screen
in 1966, which later became the basis of the Magnavox Odyssey in 1972. Inspired by the table tennis game on the Odyssey, Nolan Bushnell, Ted Dabney, and
Allan Alcorn at Atari, Inc. developed the first successful arcade game, Pong, and looked to develop that into a home version, which was released in 1975. The
first consoles were capable of playing only a very limited number of games built into the hardware. Programmable consoles using swappable ROM cartridges
were introduced with the Fairchild Channel F in 1976, though popularized with the Atari 2600 released in 1977.

Handheld consoles emerged from technology improvements in handheld electronic games as these shifted from mechanical to electronic/digital logic, and away
from light-emitting diode (LED) indicators to liquid-crystal displays (LCD) that resembled video screens more closely. Early examples include the Microvision
in 1979 and Game & Watch in 1980, and the concept was fully realized by the Game Boy in 1989.

Both home and handheld consoles have become more advanced following global changes in technology. These technological shifts include improved electronic
and computer chip manufacturing to increase computational power at lower costs and size, the introduction of 3D graphics and hardware-based graphic
processors for real-time rendering, digital communications such as the Internet, wireless networking and Bluetooth, and larger and denser media formats as well
as digital distribution.

Following the same type of Moore's law progression, home consoles are grouped into generations; each lasting approximately five years. Consoles within each
generation share similar specifications and features, such as processor word size. While no one grouping of consoles by generation is universally accepted,[2]
one breakdown of generations, showing representative consoles, of each is shown below.
 Overview of the console generations, including generation overlaps. Major consoles of each generation are given for each.

Form factor

The An example of a handheld console, the Sony The Nintendo Switch hybrid console in its dock
PlayStation 5 PlayStation Portable (PSP) (right)
home console

Home video game console

Home video game consoles are meant to be connected to a television or other type of monitor, with power supplied through an outlet. This requires the unit to
be used in a fixed location, typically at home in one's living room. Separate game controllers, connected through wired or wireless connections, are used to
provide input to the game. Early examples include the Atari 2600, the Nintendo Entertainment System, and the Sega Genesis; newer examples include the Wii
U, the PlayStation 5, and the Xbox Series X.

Microconsole
A microconsole is a home video game console that is typically powered by low-cost computing hardware, making the console lower-priced compared to other
home consoles on the market. The majority of microconsoles, with a few exceptions such as the PlayStation TV and OnLive Game System, are Android-based
digital media players that are bundled with gamepads and marketed as gaming devices. Such microconsoles can be connected to the television to play video
games downloaded from an application store such as Google Play.[3]

Handheld game console

Handheld game consoles are devices that typically include a built-in screen and game controller in their case, and contain a rechargeable battery or battery
compartment. This allows the unit to be carried around and played anywhere, in contrast to a home game console. Examples include the Game Boy, the
PlayStation Portable, and the Nintendo 3DS.

Hybrid video game console

Hybrid video game consoles are devices that can be used either as a handheld or as a home console. They have either a wired connection or docking station that
connects the console unit to a television screen and fixed power source, and the potential to use a separate controller. However, they can also be used as a
handheld. While prior handhelds like the Sega Nomad and PlayStation Portable, or home consoles such as the Wii U, have had these features, some consider the
Nintendo Switch to be the first true hybrid console.[4][5]

Functionality
Most consoles are considered programmable consoles and have the means for the player to switch between different games. Traditionally, this has been done by
switching a physical game cartridge or game card or by using optical media. It is now common to download games through digital distribution and store them
on internal or external digital storage devices.

Dedicated console
Some consoles are considered dedicated consoles, in which games available for the console are "baked" onto the
hardware, either by being programmed via the circuitry or set in the read-only flash memory of the console. Thus, the
console's game library cannot be added to or changed directly by the user. The user can typically switch between games
on dedicated consoles using hardware switches on the console, or through in-game menus. Dedicated consoles were
common in the first generation of home consoles, such as the Magnavox Odyssey and the home console version of Pong,
and more recently have been used for retro style consoles such as the NES Classic Edition and Sega Genesis Mini.

Dedicated consoles were very popular in the first generation until they were gradually replaced by second generation that
The Sega Genesis (Mega Drive)
use ROM cartridges. The fourth generation gradually merged with optical media. Mini dedicated console

Retro style console

During the later part of video game history, there have been specialized consoles using computing components to offer multiple games to players. Most of these
plug directly into one's television, and thus are often called plug-and-play consoles. Most of them are also considered dedicated consoles since it is generally
impossible to access the computing components by an average consumer, though tech-savvy consumers often have found ways to hack the console to install
additional functionality, voiding the manufacturer's warranty. Plug-and-play consoles usually come with the console unit itself, one or more controllers, and the
required components for power and video hookup. Many recent plug-and-play releases have been for distributing a number of retro games for a specific console
platform. Examples of these include the Atari Flashback series, the NES Classic Edition, Sega Genesis Mini[6] and also handheld retro consoles such as the
Nintendo Game & Watch color screen series.

Components

Console unit
Early console hardware was designed as customized printed circuit boards (PCB)s, selecting existing integrated circuit chips that performed known functions,
or programmable chips like erasable programmable read-only memory (EPROM) chips that could perform certain functions. Persistent computer memory was
expensive, so dedicated consoles were generally limited to the use of processor registers for storage of the state of a game, thus limiting the complexities of
such titles. Pong in both its arcade and home format, had a handful of logic and calculation chips that used the current input of the players' paddles and resisters
storing the ball's position to update the game's state and send it to the display device.[7] Even with more advanced integrated circuits (IC)s of the time, designers
were limited to what could be done through the electrical process rather than through programming as normally associated with video game development.

Improvements in console hardware followed with improvements in microprocessor technology and semiconductor device fabrication.[8] Manufacturing
processes have been able to reduce the feature size on chips (typically measured in nanometers), allowing more transistors and other components to fit on a
chip, and at the same time increasing the circuit speeds and the potential frequency the chip can run at, as well as reducing thermal dissipation. Chips were able
to be made on larger dies, further increasing the number of features and effective processing power. Random-access memory became more practical with the
higher density of transistors per chip, but to address the correct blocks of memory, processors needed to be updated to use larger word sizes and allot for larger
bandwidth in chip communications.[8] All these improvements did increase the cost of manufacturing, but at a rate far less than the gains in overall processing
power, which helped to make home computers and consoles inexpensive for the consumer, all related to Moore's law of technological improvements.[8]

For the consoles of the 1980s to 1990s, these improvements were evident in the marketing in the late 1980s to 1990s during the "bit wars", where console
manufacturers had focused on their console's processor's word size as a selling point.[9] Consoles since the 2000s are more similar to personal computers,
building in memory, storage features, and networking capabilities to avoid the limitations of the past.[10] The confluence with personal computers eased
software development for both computer and console games, allowing developers to target both platforms. However, consoles differ from computers as most of
the hardware components are preselected and customized between the console manufacturer and hardware component provider to assure a consistent
performance target for developers. Whereas personal computer motherboards are designed with the needs for allowing consumers to add their desired selection
of hardware components, the fixed set of hardware for consoles enables console manufacturers to optimize the size and design of the motherboard and
hardware, often integrating key hardware components into the motherboard circuitry itself. Often, multiple components, such as the central processing unit and
graphics processing unit, can be combined into a single chip, otherwise known as a system on a chip (SoC), which is a further reduction in size and cost.[11] In
addition, consoles tend to focus on components that give the unit high game performance, such as the CPU and GPU, and as a tradeoff to keep their prices in
expected ranges, use less memory and storage space compared to typical personal computers.[12]

In comparison to the early years of the industry, where most consoles were made directly by the company selling the console, many consoles of today are
generally constructed through a value chain that includes component suppliers, such as AMD and NVidia for CPU and GPU functions, and contract
manufacturers including electronics manufacturing services, factories which assemble those components into the final consoles such as Foxconn and
Flextronics. Completed consoles are then usually tested, distributed, and repaired by the company itself.[13] Microsoft and Nintendo both use this approach to
their consoles, while Sony maintains all production in-house with the exception of their component suppliers.

Some of the commons elements that can be found within console hardware include:

Motherboard
The primary PCB that all of the main chips, including the CPU, are mounted on.

Daughterboard
A secondary PCB that connects to the motherboard that would be used for additional functions. These may include components that can be
easily replaced later without having to replace the full motherboard.
Central processing unit (CPU)
The main processing chip on the console that performs most of the computational workload.
The consoles' CPU is generally defined by its word size (such as 8-bit or 64-bit), and its clock speed
or frequency in hertz. For some CPUs, the clock speed can be variable in response to software
needs. In general, larger word sizes and faster clock sizes indicate better performance, but other
factors will impact the actual speed.
Another distinguishing feature for a console's CPU is the instruction set architecture. The instruction
set defines low-level machine code to be sent to the CPU to achieve specific results on the chip.
Differences in the instruction set architecture of CPU of consoles of a given generation can make for
difficulty in software portability. This had been used by manufacturers to keep software titles The Atari 2600 motherboard, with basic
exclusive to their platform as one means to compete with others.[14] Consoles prior to the sixth IC chips identified
generation typically used chips that the hardware and software developers were most familiar with,
but as personal computers stabilized on the x86 architecture, console manufacturers followed suit as
to help easily port games between computer and console.[15]
Newer CPUs may also feature multiple processing cores, which are also identified in their
specification. Multi-core CPUs allow for multithreading and parallel computing in modern games,
such as one thread for managing the game's rendering engine, one for the game's physics engine,
and another for evaluating the player's input.

Graphical processing unit (GPU)

The processing unit that performs rendering of data from the CPU to the video output of the console.
In the earlier console generations, this was generally limited to simple graphic processing routines,
such as bitmapped graphics and manipulation of sprites, all otherwise involving integer mathematics
while minimizing the amount of required memory needed to complete these routines, as memo. For
example, the Atari 2600 used its own Television Interface Adaptor that handled video and audio,
while the Nintendo Entertainment System used the Picture Processing Unit. For consoles, these
GPUs were also designed to send the signal in the proper analog formation to a cathode ray
The Sega Dreamcast motherboard,
television, NTSC (used in Japan and North America) or PAL (mostly used in Europe). These two
incorporating more complex IC circuitry
formats differed by their refresh rates, 60 versus 50 Hertz, and consoles and games that were
manufactured for PAL markets used the CPU and GPU at lower frequencies.[16]
The introduction of real-time polygonal 3D graphics rendering in the early 1990s—not just an
innovation in video games for consoles but in arcade and personal computer games—led to the
development of GPUs that were capable of performing the floating-point calculations needed for real-
time 3D rendering. In contrast to the CPU, modern GPUs for consoles and computers, principally
made by AMD and NVidia, are highly parallel computing devices with a number of compute
units/streaming multiprocessors (depending on vendor, respectively) within a single chip. Each
compute unit/microprocessor contains a scheduler, a number of subprocessing units, memory
caches and buffers, and dispatching and collecting units which also may be highly parallel in nature.
Modern console GPUs can be run at a different frequency from the CPU, even at variable
frequencies to increases its processing power at the cost of higher energy draw.[17] The performance The PlayStation 3 motherboard,
of GPUs in consoles can be estimated through floating-point operations per second (FLOPS) and showing the use of System-on-a-Chip
more commonly as in teraflops (TFLOPS = 1012 FLOPS). However, particularly for consoles, this is (SoC) via the Cell processor (silver
considered a rough number as several other factors such as the CPU, memory bandwidth, and chip, just right-of-center)
console architecture can impact the GPU's true performance.[18]

Coprocessors
Additional processors used to handle other dedicated functions on the console. Many early consoles
feature an audio coprocessor for example.

Northbridge
The processor unit that, outside of the CPU and GPU, typically manages the fastest processing
elements on the computer. Typically this involves communication of data between the CPU, the GPU,
and the on-board RAM, and subsequently sending and receiving information with the southbridge.
An opened first-generation Xbox
Southbridge console with the hard disc drive and
The counterpart of the northbridge, the southbridge is the processing unit that handles slower optical drive removed, showing
processing components of the console, typically those of input/output (I/O) with some internal components like the power supply (far
storage and other connected devices like controllers. right), cooling fins, cooling fan, and
case features
BIOS
The console's BIOS (Basic Input/Output System) is the fundamental instruction set baked into a
firmware chip on the console circuit board that the console uses when it is first turned on to direct operations. In older consoles, prior to the
introduction of onboard storage, the BIOS effectively served as the console's operating system, while in modern consoles, the BIOS is used
to direct loading of the console's operating system off internal memory.

Random-access memory (RAM)

Memory storage that is designed for fast reading and writing, often used in consoles to store large amounts of data about a game while it is
being played to avoid reading from the slower game media. RAM memory typically does not sustain itself after the console is powered off.
Besides the amount of RAM available, a key measurement of performance for consoles is the RAM's bandwidth, how fast in terms of bytes
per second that the RAM can be written and read from. This is data that must be transferred to and from the CPU and GPU quickly as
needed without requiring these chips to need high memory caches themselves.

Internal storage
Newer consoles have included internal storage devices, such as flash memory, hard disk drives (HDD) and solid-state drives (SSD), to
save data persistently. Early application of internal storage was for saving game states, and more recently can be used to store the
console's operating system, game patches and updates, games downloaded through the Internet, additional content for those games, and
additional media such as purchased movies and music. Most consoles provide the means to manage the data on this storage while
respecting the copyrights on the system. Newer consoles, such as the PlayStation 5 and Xbox Series X, use high-speed SSD's not only for
storage but to augment the console's RAM, as the combination of their I/O speeds and the use of decompression routines build into the
system software give overall read speeds that approach that of the onboard RAM.[19]

Power supply
 Besides converting AC power from a wall socket to the DC power needed by the console electronics, the power supply also helps to
regulate that power in cases of power surges. Some consoles power supplies are built into the unit, so that the consumer plugs the unit
directly to a wall socket, but more often, the console ships with an AC adapter, colloquially known as a "power brick", that converts the
power outside of the unit. On handheld units the power supply will either be from a battery compartment, or optionally from a direct power
connection from an AC adapter, or from a rechargeable battery pack built into the unit.

Cooling systems
More advanced computing systems generate heat, and require active cooling systems to keep the hardware at safe operating
temperatures. Many newer consoles are designed with cooling fans, engineered cooling fins, internal layouts, and strategically-placed vents
on the casing to assure good convective heat transfer for keeping the internal components cool.

Media reader
Since the introduction of game cartridges, nearly all consoles have a cartridge port/reader or an optical drive for game media. In the latter
console generations, some console revisions have offered options without a media reader as a means to reduce the console's cost and
letting the consumer rely on digital distribution for game acquisition, such as with the Xbox One S All-Digital Edition or the PlayStation 5
Digital Edition.

Case
All consoles are enclosed in a case to protect the electronics from damage and to constrain the air flow for cooling.

Input/output ports
Ports for connecting power, controllers, televisions or video monitors, external storage devices, Internet connectivity, and other features are
placed in strategic locations on the console. Controller connections are typically offered on the front of the console, while power and most
other connections are usually found on the back to keep cables out of the way.

Controllers
All game consoles require player input through a game controller to provide a method to move the player character in a specific direction and a variation of
buttons to perform other in-game actions such as jumping or interacting with the game world.[20] Though controllers have become more featured over the years,
they still provide less control over a game compared to personal computers or mobile gaming.[21] The type of controller available to a game can fundamentally
change the style of how a console game will or can be played.[22][23][24] However, this has also inspired changes in game design to create games that
accommodate for the comparatively limited controls available on consoles.[25]

Controllers have come in a variety of styles over the history of consoles. Some common types include:

Paddle
A unit with a single knob or dial and usually one or two buttons. Turning the knob typically allows one to move an on-screen object along
one axis (such as the paddle in a table tennis game), while the buttons can have additional features.

Joystick
A unit that has a long handle that can pivot freely along multiple directions along with one or more buttons. The unit senses the direction
that the joystick is pushed, allowing for simultaneous movement in two directions within a game.

Gamepad
A unit that contains a variety of buttons, triggers, and directional controls – either D-pads or analog sticks or both. These have become the
most common type of controller since the third generation of console hardware, with designs becoming more detailed to give a larger array
of buttons and directional controls to player's while maintaining ergonomic features.

Numerous other controller types exist, including those that support motion controls, touchscreen support on handhelds and some consoles, and specialized
controllers for specific types of games, such as racing wheels for racing games, light guns for shooting games, and musical instrument controllers for rhythm
games. Some newer consoles also include optional support for a mouse and keyboard devices. Some older consoles such as 1988 Sega Genesis aka Mega Drive
and 1993 3DO Interactive Multiplayer, supported optional mice, both with special mice made for them, but the 3DO mouse like that console was a flop, and the
mouse for the Sega had very limited game support. The Sega also supported the optional Menacer, a wireless infrared light gun, and such were at one point
popular for games. It also support BatterUP, a baseball bat-shaped controller.

A controller may be attached through a wired connection onto the console itself, or in some unique cases like the Famicom hardwired to the console, or with a
wireless connection. Controllers require power, either provided by the console via the wired connection, or from batteries or a rechargeable battery pack for
wireless connections. Controllers are nominally built into a handheld unit, though some newer ones allow for separate wireless controllers to also be used.

The Magnavox Odyssey The Atari CX40 joystick The Nintendo Entertainment System A modern controller, the
dual-paddle controller gamepad with a single D-pad and four DualSense for the Sony
buttons PlayStation 5, with multiple
directional controls and buttons

Game media
While the first game consoles were dedicated game systems, with the games programmed into the console's hardware, the Fairchild Channel F introduced the
ability to store games in a form separate from the console's internal circuitry, thus allowing the consumer to purchase new games to play on the system. Since
the Channel F, nearly all game consoles have featured the ability to purchase and swap games through some form, through those forms have changes with
improvements in technology.

ROM cartridge or game cartridge

The read-only memory (ROM) cartridge was introduced with the Fairchild Channel F. A ROM cartridge consist of a printed circuit board
(PCB) housed inside of a plastic casing, with a connector allowing the device to interface with the console. The circuit board can contain a
wide variety of components, at the minimum, the read-only memory with the software written on it. Later cartridges were able to introduce
additional components onto the circuit board like coprocessors, such as Nintendo's SuperFX chip, to enhance the performance of the
console.[26] Some consoles such as the Turbografx-16 used a smart card-like technology to flatten the cartridge to a credit-card-sized
system, which helped to reduce production costs, but limited additional features that could be included onto the circuitry.[27] PCB-based
cartridges waned with the introduction of optical media during the fifth generation of consoles. More recently, ROM cartridges have been
based on high memory density, low cost flash memory, which allows for easier mass production of games. Sony used this approach for the
PlayStation Vita,[28] and Nintendo continues to use ROM cartridges for its 3DS and Switch products.

Optical media
Optical media, such as CD-ROM, DVD, and Blu-ray, became the primary format for retail distribution with the fifth generation. The CD-ROM
format had gained popularity in the 1990s, in the midst of the fourth generation, and as a game media, CD-ROMs were cheaper and faster
to produce, offered much more storage space and allowed for the potential of full-motion video.[29] Several console manufacturers
attempted to offer CD-ROM add-ons to fourth generation consoles, but these were nearly as expensive as the consoles themselves and did
not fare well. Instead, the CD-ROM format became integrated into consoles of the fifth generation, with the DVD format present across
most by the seventh generation and Blu-ray by the eighth. Console manufacturers have also used proprietary disc formats for copy
protection as well, such as the Nintendo optical disc used on the GameCube, and Sony's Universal Media Disc on the PlayStation Portable.

Digital distribution
Since the seventh generation of consoles, most consoles include integrated connectivity to the Internet and both internal and external
storage for the console, allowing for players to acquire new games without game media. All three of Nintendo, Sony, and Microsoft offer an
integrated storefront for consumers to purchase new games and download them to their console, retaining the consumers' purchases
across different consoles, and offering sales and incentives at times.

Cloud gaming
As Internet access speeds improved throughout the eighth generation of consoles, cloud gaming had gained further attention as a media
format. Instead of downloading games, the consumer plays them directly from a cloud gaming service with inputs performed on the local
console sent through the Internet to the server with the rendered graphics and audio sent back. Latency in network transmission remains a
core limitation for cloud gaming at the present time.

While magnetic storage, such as tape drives and floppy disks, had been popular for software distribution with early personal computers in the 1980s and 1990s,
this format did not see much use in console systems. There were some attempts, such as the Bally Astrocade and APF-M1000 using tape drives, as well as the
Disk System for the Nintendo Famicom,[30] and the Nintendo 64DD for the Nintendo 64, but these had limited applications, as magnetic media was more
fragile and volatile than game cartridges.[31]

A Fairchild Channel F A Nintendo Wii optical disc Mobile device running

cartridge, exposing cloud game on Stadia
the circuit contacts on with official controller
the PCB

External storage
In addition to built-in internal storage, newer consoles often give the consumer the ability to use external storage media
to save game date, downloaded games, or other media files from the console. Early iterations of external storage were
achieved through the use of flash-based memory cards, first used by the Neo Geo but popularized with the PlayStation.
Nintendo continues to support this approach with extending the storage capabilities of the 3DS and Switch, standardizing
on the current SD card format. As consoles began incorporating the use of USB ports, support for USB external hard
drives was also added, such as with the Xbox 360.

Online services
A PlayStation memory card
With Internet-enabled consoles, console manufacturers offer both free and paid-subscription services that provide value-
added services atop the basic functions of the console. Free services generally offer user identity services and access to a
digital storefront, while paid services allow players to play online games, interact with other uses through social networking, use cloud saves for supported
games, and gain access to free titles on a rotating basis. Examples of such services include the Xbox network, PlayStation Network, and Nintendo Switch
Online.

Console add-ons
Certain consoles saw various add-ons or accessories that were designed to attach to the existing console to extend its functionality. The best example of this was
through the various CD-ROM add-ons for consoles of the fourth generation such as the TurboGrafx CD, Atari Jaguar CD, and the Sega CD. Other examples of
add-ons include the 32X for the Sega Genesis intended to allow owners of the aging console to play newer games but has several technical faults, and the Game
Boy Player for the GameCube to allow it to play Game Boy games.

Accessories
Consumers can often purchase a range of accessories for consoles outside of the above categories. These can include:

Video camera
While these can be used with Internet-connected consoles like webcams for communication with other friends as they would be used on
personal computers, video camera applications on consoles are more commonly used in augmented reality/mixed reality and motion
sensing games. Devices like the EyeToy for PlayStation consoles and the Kinect for Xbox consoles were center-points for a range of
games to support these devices on their respective systems.

Standard Headsets
Headsets provide a combination of headphones and a microphone for chatting with other players without disturbing others nearby in the
same room.

Virtual reality headsets

Some virtual reality (VR) headsets can operate independently of consoles or use personal computers for their main processing system. As
of 2020, the only direct VR support on consoles is the PlayStation VR, though support for VR on other consoles is planned by the other
manufacturers.

Docking station
For handheld systems as well as hybrids such as the Nintendo Switch, the docking station makes it easy to insert a handheld to recharge
its battery, and if supported, for connecting the handheld to a television screen.

Kinect for Xbox One Virtual reality headset Docking station for Nintendo
PlayStation VR Switch

Game development

Console development kits

Console or game development kits are specialized hardware units that typically include the same components as the console and additional chips and
components to allow the unit to be connected to a computer or other monitoring device for debugging purposes. A console manufacturer will make the console's
dev kit available to registered developers months ahead of the console's planned launch to give developers time to prepare their games for the new system.
These initial kits will usually be offered under special confidentiality clauses to protect trade secrets of the console's design, and will be sold at a high cost to the
developer as part of keeping this confidentiality.[12] Newer consoles that share features in common with personal computers may no longer use specialized dev
kits, though developers are still expected to register and purchase access to software development kits from the manufacturer. For example, any consumer Xbox
One can be used for game development after paying a fee to Microsoft to register one intent to do so.[32]

Licensing
Since the release of the Nintendo Famicom / Nintendo Entertainment System, most video game console manufacturers employ a strict licensing scheme that
limit what games can be developed for it. Developers and their publishers must pay a fee, typically based on royalty per unit sold, back to the manufacturer. The
cost varies by manufacturer but was estimated to be about US$3−10 per unit in 2012. With additional fees, such as branding rights, this has generally worked
out to be an industry-wide 30% royalty rate paid to the console manufacturer for every game sold.[33][34] This is in addition to the cost of acquiring the dev kit
to develop for the system.

The licensing fee may be collected in a few different ways. In the case of Nintendo, the company generally has controlled the production of game cartridges
with its lockout chips and optical media for its systems, and thus charges the developer or publisher for each copy it makes as an upfront fee. This also allows
Nintendo to review the game's content prior to release and veto games it does not believe appropriate to include on its system. This had led to over 700
unlicensed games for the NES,[35] and numerous others on other Nintendo cartridge-based systems that had found ways to bypass the hardware lockout chips
and sell without paying any royalties to Nintendo, such as by Atari in its subsidiary company Tengen.[36] This licensing approach was similarly used by most
other cartridge-based console manufacturers using lockout chip technology.[37]

With optical media, where the console manufacturer may not have direct control on the production of the media, the developer or publisher typically must
establish a licensing agreement to gain access to the console's proprietary storage format for the media as well as to use the console and manufacturer's logos
and branding for the game's packaging, paid back through royalties on sales.[33] In the transition to digital distribution, where now the console manufacturer
runs digital storefronts for games, license fees apply to registering a game for distribution on the storefront – again gaining access to the console's branding and
logo – with the manufacturer taking its cut of each sale as its royalty.[33] In both cases, this still gives console manufacturers the ability to review and reject
games it believes unsuitable for the system and deny licensing rights.

With the rise of indie game development, the major console manufacturers have all developed entry level routes for these smaller developers to be able to
publish onto consoles at far lower costs and reduced royalty rates. Programs like Microsoft's ID@Xbox give developers most of the needed tools for free after
validating the small development size and needs of the team.[38]
Similar licensing concepts apply for third-party accessory manufacturers.[33]

Emulation and backward compatibility

Consoles, like most consumer electronic devices, have limited lifespans. There is great interest in preservation of older console hardware for archival and
historical purposes, as games from older consoles, as well as arcade and personal computers, remain of interest. Computer programmers and hackers have
developed emulators that can be run on personal computers or other consoles that simulate the hardware of older consoles that allow games from that console to
be run. The development of software emulators of console hardware is established to be legal, but there are unanswered legal questions surrounding copyrights,
including acquiring a console's firmware and copies of a game's ROM image, which laws such as the United States' Digital Millennium Copyright Act make
illegal save for certain archival purposes.[39] Even though emulation itself is legal, Nintendo is recognized to be highly protective of any attempts to emulate its
systems and has taken early legal actions to shut down such projects.[40]

To help support older games and console transitions, manufacturers started to support backward compatibility on consoles in the same family. Sony was the first
to do this on a home console with the PlayStation 2 which was able to play original PlayStation content, and subsequently became a sought-after feature across
many consoles that followed.[41] Backward compatibility functionality has included direct support for previous console games on the newer consoles such as
within the Xbox console family,[42] the distribution of emulated games such as Nintendo's Virtual Console, or using cloud gaming services for these older
games as with the PlayStation Now service.

Market

Distribution
Consoles may be shipped in a variety of configurations, but typically will include one base configuration that include the
console, one controller, and sometimes a pack-in game. Manufacturers may offer alternate stock keeping unit (SKUs)
options that include additional controllers and accessories or different pack-in games. Special console editions may
feature unique cases or faceplates with art dedicated to a specific video game or series and are bundled with that game as
a special incentive for its fans. Pack-in games are typically first-party games, often featuring the console's primary
mascot characters.[43]

The more recent console generations have also seen multiple versions of the same base console system either offered at
launch or presented as a mid-generation refresh. In some cases, these simply replace some parts of the hardware with Visualization of the Best-Selling
cheaper or more efficient parts, or otherwise streamline the console's design for production going forward; the game consoles from 1977 to 2024.
PlayStation 3 underwent several such hardware refreshes during its lifetime due to technological improvements such as
significant reduction of the process node size for the CPU and GPU.[44] In these cases, the hardware revision model will
be marked on packaging so that consumers can verify which version they are acquiring.[45]

In other cases, the hardware changes create multiple lines within the same console family. The base console unit in all revisions share fundamental hardware,
but options like internal storage space and RAM size may be different. Those systems with more storage and RAM would be marked as a higher performance
variant available at a higher cost, while the original unit would remain as a budget option. For example, within the Xbox One family, Microsoft released the
mid-generation Xbox One X as a higher performance console, the Xbox One S as the lower-cost base console, and a special Xbox One S All-Digital Edition
revision that removed the optical drive on the basis that users could download all games digitally, offered at even a lower cost than the Xbox One S. In these
cases, developers can often optimize games to work better on the higher-performance console with patches to the retail version of the game.[46] In the case of
the Nintendo 3DS, the New Nintendo 3DS, featured upgraded memory and processors, with new games that could only be run on the upgraded units and cannot
be run on an older base unit.[47] There have also been a number of "slimmed-down" console options with significantly reduced hardware components that
significantly reduced the price they could sell the console to the consumer, but either leaving certain features off the console, such as the Wii Mini that lacked
any online components compared to the Wii, or that required the consumer to purchase additional accessories and wiring if they did not already own it, such as
the New-Style NES that was not bundled with the required RF hardware to connect to a television.[48]

Pricing
Consoles when originally launched in the 1970s and 1980s were about US$200−300,[49] and with the introduction of the ROM cartridge, each game averaged
about US$30−40.[55] Over time the launch price of base consoles units has generally risen to about US$400−500,[49] with the average game costing US$60.[55]
Exceptionally, the period of transition from ROM cartridges to optical media in the early 1990s saw several consoles with high price points exceeding US$400
and going as high as US$700. Resultingly, sales of these first optical media consoles were generally poor.[49]

When adjusted for inflation, the price of consoles has generally followed a downward trend, from US$800−1,000 from the early generations down to
US$500−600 for current consoles. This is typical for any computer technology, with the improvements in computing performance and capabilities outpacing the
additional costs to achieve those gains.[49] Further, within the United States, the price of consoles has generally remained consistent, being within 0.8% to 1% of
the median household income, based on the United States Census data for the console's launch year.[49]

Since the Nintendo Entertainment System, console pricing has stabilized on the razorblade model, where the consoles are sold at little to no profit for the
manufacturer, but they gain revenue from each game sold due to console licensing fees and other value-added services around the console (such as Xbox
Live).[40][56][57] Console manufacturers have even been known to take losses on the sale of consoles at the start of a console's launch with expectation to
recover with revenue sharing and later price recovery on the console as they switch to less expensive components and manufacturing processes without
changing the retail price.[58] Consoles have been generally designed to have a five-year product lifetime, though manufacturers have considered their entries in
the more recent generations to have longer lifetimes of seven to potentially ten years.[59]

Competition
The competition within the video game
console market as subset of the video game Console release prices (in U.S. Dollars) and total sales[49][50]

industry is an area of interest to economics Introductory price (U.S.)

Console Release year (U.S.) Global Sales (Units)
with its relatively modern history, its rapid Originally[note 1] 2020 inflation[note 2]
growth to rival that of the film industry, and
First generation
frequent changes compared to other
sectors.[50][10] Magnavox Odyssey 1972 $100 $553 350,000[51]

Second generation
Effects of unregulated competition on the
Atari 2600 1977 $200 $882 30,000,000
market were twice seen early in the industry.
The industry had its first crash in 1977 Intellivision 1979 $300 $996 3,000,000
following the release of the Magnavox Atari 5200 1982 $270 $740 1,400,000
Odyssey, Atari's home versions of Pong and Colecovision 1982 $175 $480 2,000,000
the Coleco Telstar, which led other third-party
Third generation
manufacturers, using inexpensive General
Instruments processor chips, to make their NES 1985 $200 $490 61,900,000

own home consoles which flooded the market Atari 7800 1986 $150 $380 3,770,000
by 1977.[60]: 81–89 The video game crash of Master System 1986 $200 $470 13,000,000
1983 was fueled by multiple factors including
Game Boy 1989 $110 $234 118,690,000
competition from lower-cost personal
Fourth generation
computers, but unregulated competition was
also a factor, as numerous third-party game TurboGrafx-16 1989 $200 $426 5,800,000
developers, attempting to follow on the Genesis 1989 $190 $405 30,750,000
success of Activision in developing third-
SNES 1991 $200 $384 49,100,000
party games for the Atari 2600 and
CD-I 1991 $400 $768 1,000,000
Intellivision, flooded the market with poor
quality games, and made it difficult for even Neo Geo 1991 $650 $1248 980,000
quality games to sell.[61] Nintendo Sega CD 1992 $300 $561 2,240,000
implemented a lockout chip, the Checking Fifth generation
Integrated Circuit, on releasing the Nintendo
Atari Jaguar 1993 $250 $453 250,000
Entertainment System in Western territories,
as a means to control which games were 3DO 1993 $700 $1267 2,000,000
published for the console. As part of their 32X 1994 $160 $282 665,000
licensing agreements, Nintendo further PlayStation 1995 $300 $516 102,490,000
prevented developers from releasing the same
Sega Saturn 1995 $400 $688 9,260,000
game on a different console for a period of
two years. This served as one of the first Nintendo 64 1996 $200 $334 32,390,000

means of securing console exclusivity for Sixth generation

games that existed beyond technical limitation Dreamcast 1999 $200 $314 9,130,000
of console development.[62]
PlayStation 2 2000 $300 $459 155,000,000

The Nintendo Entertainment System also GameCube 2001 $200 $294 21,740,000
brought the concept of a video game mascot Xbox 2001 $300 $441 24,000,000
as the representation of a console system as a
Game Boy Advance 2001 $100 $147 118,690,000
means to sell and promote the unit, and for the
N-Gage 2003 $300 $416 3,000,000
NES was Mario. The use of mascots in
businesses had been a tradition in Japan, and Seventh generation
this had already proven successful in arcade Nintendo DS 2004 $200 $278 154,020,000
games like Pac-Man. Mario was used to serve PlayStation Portable 2004 $250 $348 82,000,000
as an identity for the NES as a humor-filled,
Xbox 360 2005 $400 $540 84,700,000
playful console.[43][63] Mario caught on
quickly when the NES released in the West, PlayStation 3 2006 $500 $680 87,400,000
and when the next generation of consoles Wii 2006 $250 $326 101,630,000
arrived, other manufacturers pushed their own Eighth generation
mascots to the forefront of their marketing,
Wii U 2012 $350 $399 13,560,000
most notably Sega with the use of Sonic the
[64] The Nintendo and Sega rivalry Nintendo 3DS 2011 $250 $293 75,280,000
Hedgehog.
that involved their mascot's flagship games PlayStation Vita 2012 $250 $293 15,900,000
served as part of the fourth console PlayStation 4 2013 $400 $448 117,200,000[note 3]
generation's "console wars". Since then,
Xbox One 2013 $500 $560 51,000,000 (Estimate)
manufacturers have typically positioned their
mascot and other first-party games as key Nintendo Switch 2017 $300 $318 122,550,000[note 3]
titles in console bundles used to drive sales of Current
consoles at launch or at key sales periods such PlayStation 5 2020 $400 / $500 $400 / $500 50,000,000[note 3][52]
as near Christmas.[43]
Xbox Series X/S 2020 $300 / $500 $300 / $500 18,000,000 (Estimate)[note 3][note 4]
Another type of competitive edge used by
console manufacturers around the same time
was the notion of "bits" or the size of the word
used by the main CPU. The TurboGrafx-16
was the first console to push on its bit-size,
advertising itself as a "16-bit" console, though Handheld units are shown in blue.
this only referred to part of its architecture
1. Based on pricing of base model at launch within the United States
while its CPU was still an 8-bit unit. Despite 2. Based on the Bureau of Labor Statistics Consumer Price Index
this, manufacturers found consumers became 3. Still in production
fixated on the notion of bits as a console 4. Microsoft does not report exact sales for its consoles since the Xbox One, and sales are based industry estimates.[53][54]
selling point, and over the fourth, fifth and
sixth generation, these "bit wars" played
heavily into console advertising.[9] The use of bits waned as CPU architectures no longer needed to increase their word size and instead had other means to
improve performance such as through multicore CPUs.[9]

Generally, increased console numbers gives rise to more consumer options and better competition, but the exclusivity of titles
made the choice of console for consumers an "all-or-nothing" decision for most.[10] Further, with the number of available
consoles growing with the fifth and sixth generations, game developers became pressured to which systems to focus on, and
ultimately narrowed their target choice of platforms to those that were the best-selling. This cased a contraction in the market,
with major players like Sega leaving the hardware business after the Dreamcast but continuing in the software area.[50]
Effectively, each console generation was shown to have two or three dominant players.[10]

Competition in the console market in the 2010s and 2020s is considered an oligarchy between three main manufacturers:
Nintendo, Sony, and Microsoft. The three use a combination of first-party games exclusive to their console and negotiate
exclusive agreements with third-party developers to have their games be exclusive for at least an initial period of time to drive
consumers to their console. They also worked with CPU and GPU manufacturers to tune and customize hardware for computers
to make it more amenable and effective for video games, leading to lower-cost hardware needed for video game consoles.
Finally, console manufacturers also work with retailers to help with promotion of consoles, games, and accessories. While there
is little difference in pricing on the console hardware from the manufacturer's suggested retail price for the retailer to profit from,
these details with the manufacturers can secure better profits on sales of game and accessory bundles for premier product
placement.[50] These all form network effects, with each manufacturer seeking to maximize the size of their network of partners Retail demo kiosk for a
to increase their overall position in the competition.[10] Dreamcast, the last console
from Sega, at the Finnish
Of the three, Microsoft and Sony, both with their own hardware manufacturing capabilities, remain at a leading edge approach, Museum of Games in
Tampere, Finland in 2017
attempting to gain a first-mover advantage over the other with adaption of new console technology.[50] Nintendo is more reliant
on its suppliers and thus instead of trying to compete feature for feature with Microsoft and Sony, had instead taken a "blue
ocean" strategy since the Nintendo DS and Wii.[65]

See also
Game consoles sales
Unlockable game
Video game clone

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tp://[Link]/gameplan_01.5_UK/[Link]) on March 7, 2007.

External links

Retrieved from "[Link]