• Reuters, Thursday, July 12, 2007 12 PM

In the technology sections of major business publications, it's all about video games this week. Why? The Electronic Entertainment Expo--for many, still the industry standard--is underway. Which means the big boys of video games are ready to take the wraps off new games, features and hardware, while stats-masters like NPD Group are ready to tell investors, gamers and reporters what's hot and what's not.

To the latter point, NPD reports that in the U.S., Microsoft, which had a one-year head-start over its competitors, has sold about 5.6 million Xbox 360s, compared with 2.8 million for Nintendo's Wii and 1.4 million for Sony's PS3. Microsoft said it had shipped 11.6 million consoles worldwide by the end of June, just missing its target of 12 million. Nintendo, meanwhile, reported being right on target, although the industry veteran said it might fail to manufacture enough consoles to meet demand, anticipating a squeeze right around Christmas time. Sony's PS3 tribulations are well documented, as the company on Monday announced a $100 price cut.

Most analysts believe Nintendo is creaming its competition, which, perhaps, is why Sony and Microsoft have done most of the cheerleading. As Jack Tretton, head of Sony Computer Entertainment America, said last week, the time has come for Sony to push the software: "The real news is the games," he said. For its part, Microsoft said it has a "perfect storm" of new games on the horizon, including the hotly anticipated "Halo 3" and "Grand Theft Auto IV" from Take Two Interactive.

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