Used games block on consoles would “disintegrate” industry

Used games has been and will most likely always be a hot topic in the industry. Here to pour fuel on the fire is none other than predictor extraordinaire Michael Pachter, otherwise known as an analyst from Wedbush.

Speaking on his latest episode of Pach Attach, the man reiterated his beliefs that next-gen consoles blocking used games would be a bad move on the part of console manufacturers, to put it lightly.

In more colorful words, it would sound like this: “I think the industry will disintegrate; I think there will be no more videogames if next-gen consoles don’t support used games. You hear that, Sony and Microsoft? You have to support used games.”

Continuing with the theme, Pachter also reckons that publishers also over-estimate the damage that used games do.

“What does it actually cost if people trade in used games and some people buy used games instead of new games? My guess is 5% of software sales, probably.”

He estimates that 40% of games get traded, but that they’re not traded in quickly enough to make a significant impact on games’ sales, the majority of which occur within the first three months.

“So what’s the cannibalization? I’d say probably 5%. I’d say about 5% of the time somebody buys a used game instead of a new game, that costs the publisher a new sale.”