Sony's computer arm, famous for its PlayStation series, announced today it will launch a portable game at the end of 2004 in a move analysts said could see the company snatch the handheld console crown from market leader Nintendo.
Sony Computer Entertainment said it hopes the new console, called the PSP, would "extend the reach of PlayStation to a broader audience, allowing consumers to enjoy gaming and other entertainment content anytime, anywhere."
But news of the plan sent shares in top video game maker Nintendo Ltd. plunging 7.78 percent on the Tokyo Stock Exchange to Yen 8,890, in contrast to the Nikkei-225 average which ended the day up 0.67 per cent at 8,244.91 points.
Sony's share price finished up Yen 120 or 4.11 per cent at Yen 3,040. The new machine could strike a critical blow to Nintendo's business model, which largely relies on the success of its portable game machine, GameBoy Advance.
AFP