Apple Inc. (AAPL) Could Make a Move In Gaming

That could change. iOS 7, set to be released later this month, will bring support for controllers to Apple Inc. (NASDAQ:AAPL)’s iOS devices. An iPhone or iPod Touch equipped with a controller could be a challenge for both Sony and Nintendo’s handhelds, even in Japan. The country’s biggest mobile phone carrier, Docomo, will soon start carrying the iPhone, and major Japanese developers like Square-Enix have shifted their focus to mobile phone development.

Microsoft’s Xbox One is a smart TV
Microsoft Corporation (NASDAQ:MSFT) is not a player in mobile gaming — it sells no handheld gaming device, and its Windows Phone store lacks key apps like Instagram and Pinterest, let alone gaming titles. But its Xbox brand remains a major force in console gaming, and its next Xbox takes the concept of a set-top box to the next level.

At $500 its far more expensive than Sony’s Vita TV or Apple TV, but Microsoft Corporation (NASDAQ:MSFT) could have easily called its next console the Xbox TV. In addition to playing the latest games, the Xbox One also interfaces with owners’ cable boxes, allowing users to control their TV with voice commands and hand gestures, as well as get personalized recommendations.

TV merging with gaming
Sony Corporation (ADR) (NYSE:SNE)’s Vita TV announcement underscores a trend taking place in the video game industry: The line between video game consoles and TVs is blurring. The Vita TV, with its ability to play games, could steal some sales from Apple Inc. (NASDAQ:AAPL)’s set-top box. At the same time, the Xbox One is as much of a TV interface enhancement as it is a gaming console.

The battle lines between all three companies are changing, and the both TV and video game markets are becoming increasingly important.

The article Sony Takes on Apple and Microsoft With Cheap Video Game Console originally appeared on Fool.com and is written by Sam Mattera.

Sam Mattera has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple and Microsoft.

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