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Last Updated: Thursday, 21 July, 2005, 15:24 GMT 16:24 UK
Playing the future: David Gosen
All this week, the BBC News website is looking at the future of video games as seen by some of the prominent figures in the business.

Over the next year or so, new consoles such as the PlayStation 3, Xbox 360 and Nintendo Revolution are set to change the face of gaming.

David Gosen is the former managing director of Nintendo Europe and now heads up mobile gaming firm, I-Play

David Gosen, I-Play
Gosen: Need to create new gaming experiences
The console industry has to be very careful in this next iteration because technology should be regarded only as an enabler.

What is very important is that there is the innovation to give people a reason to buy the new machines.

If the new technology, if the greater processing power does not deliver a quantum leap in that gaming experience, you will not grow the market. Consumers will not buy the new platforms.

The challenge for the console manufacturers today is to say we can use technology to open a whole new world to gamers.

Maintain innovation

The best example of that is Sony's PlayStation Portable (PSP) versus Nintendo's DS.

What you are going to see is a continuing blur between reality and fiction, the blurring between the real world and film

The PSP plays movies, music and games. But does it do any of them better than on any other platform? No, not really.

Look at DS. Through the touch screen approach it created something that is innovative and new.

That is a small example of how technological advancement can create new gaming experiences and that is the challenge for the three console manufacturers.

They are thinking that way but it is a long step from thinking that way and delivering it. If you look at Nintendo's approach, and I would say this, its approach of saying we need to maintain the innovation is absolutely right.

Otherwise they won't see the rapid growth in the console penetration rate they need to see.

The big issue they've got is that to build a game for the PS3 or Xbox 360 is going to cost $20-25m (11.4-14.2m). To get a return on that investment you need a large install base.

What you are going to see is a continuing blur between reality and fiction, the blurring between the real world and film.

That's what makes it incredibly exciting. You could almost be starring in your own Hollywood movie by playing a console game or a mobile game.

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