View source for Video game console

{{Short description|Computer system for running video games}}
{{Use mdy dates|date=November 2019}}
{{Video games}}
[[File:Gaming Section 1 - Retrosystems 2010.jpg|thumb|A collection of various classic video game consoles at a game show in 2010]]
A '''video game console''' is an [[electronic device]] that [[Input/output|output]]s a [[video signal]] or image to display a [[video game]] that can typically be played with a [[game controller]]. These may be [[home video game console|home consoles]], which are generally placed in a permanent location connected to a television or other display devices and controlled with a separate game controller, or [[handheld game console|handheld consoles]], which include their own display unit and controller functions built into the unit and which can be played anywhere. Hybrid consoles combine elements of both home and handheld consoles.

Video game consoles are a specialized form of [[home computer]] geared towards video game playing, designed with affordability and [[accessibility]] to the general public in mind, but lacking in raw computing power and customization. Simplicity is achieved in part through the use of [[game cartridge]]s or other simplified methods of distribution, easing the effort of launching a game. However, this leads to ubiquitous [[proprietary format]]s that create competition for market share.<ref>{{cite magazine |title=The Big Fight|magazine=[[Next Generation (magazine)|Next Generation]]|issue=24 |publisher=[[Imagine Media]]|date=December 1996|pages=38–41}}</ref> More recent consoles have shown further confluence with home computers, making it easy for developers to release games on multiple platforms. Further, modern consoles can serve as replacements for [[Digital media player|media player]]s with capabilities to play films and music from optical media or streaming media services.

Video game consoles are usually sold on a five–seven-year cycle called a generation, with consoles made with similar technical capabilities or made around the same time period grouped into one generation. The industry has developed a [[razor and blades model]]: manufacturers often sell consoles at low prices, sometimes at a loss, while primarily making a profit from the licensing fees for each game sold. [[Planned obsolescence]] then draws consumers into buying the next console generation. While numerous manufacturers have come and gone in the history of the console market, there have always been two or three dominant leaders in the market, with the current market led by [[Sony Interactive Entertainment|Sony]] (with their [[PlayStation]] brand), [[Microsoft]] (with their [[Xbox]] brand), and [[Nintendo]] (currently producing the [[Nintendo Switch 2|Switch 2]] and [[Nintendo Switch|Switch]] consoles). Previous console developers include [[Sega]], [[Atari]], [[Coleco]], [[Mattel]], [[NEC]], [[SNK]], [[Magnavox]], [[Philips]] and [[Panasonic]].

==History==
{{Main|History of video game consoles|Home video game console generations}}
The first video game consoles were produced in the early 1970s. [[Ralph H. Baer]] devised the concept of playing simple, spot-based games on a television screen in 1966, which later became the basis of the [[Magnavox Odyssey]] in 1972. Inspired by the table tennis game on the Odyssey, [[Nolan Bushnell]], [[Ted Dabney]], and [[Allan Alcorn]] at [[Atari, Inc.]] developed the first successful [[arcade game]], ''[[Pong]]'', and looked to develop that into a home version, which was released in 1975. The first consoles were capable of playing only a very limited number of games built into the hardware. Programmable consoles using swappable [[ROM cartridge]]s were introduced with the [[Fairchild Channel F]] in 1976, though popularized with the [[Atari Video Computer System|Atari 2600]] released in 1977.

Handheld consoles emerged from technology improvements in [[handheld electronic game]]s as these shifted from mechanical to electronic/digital logic, and away from [[light-emitting diode]] (LED) indicators to [[liquid-crystal display]]s (LCD) that resembled video screens more closely. Early examples include the [[Microvision]] in 1979 and [[Game & Watch]] in 1980, and the concept was fully realized by the [[Game Boy]] in 1989.

Both home and handheld consoles have become more advanced following global changes in technology. These technological shifts include improved electronic and computer chip manufacturing to increase computational power at lower costs and size, the introduction of 3D graphics and hardware-based graphic processors for real-time rendering, digital communications such as the Internet, wireless networking and Bluetooth, and larger and denser media formats as well as digital distribution.

Following the same type of [[Moore's law]] progression, home consoles are grouped into generations; each lasting approximately five years. Consoles within each generation share similar specifications and features, such as [[Word (computer architecture)|processor word size]]. While no one grouping of consoles by generation is universally accepted,<ref name="winner take some">{{cite report | url = https://www.pitt.edu/~ckemerer/Video%20Game%20Reexamination%2020170216-submitted.pdf | title = Winners-Take-Some Dynamics in Digital Platform Markets: A Reexamination of the Video Game Console Wars | first1 = Chris F. | last1 = Kemerer | first2 = Brian Kimball | last2 = Dunn | first3 = Shadi | last3 = Janansefat | date = February 2017 | access-date = July 23, 2020 | publisher = [[University of Pittsburgh]] | archive-date = July 8, 2021 | archive-url = https://web.archive.org/web/20210708164333/https://www.pitt.edu/~ckemerer/Video%20Game%20Reexamination%2020170216-submitted.pdf | url-status = live }}</ref> a breakdown of generations, showing representative consoles of each, is shown below.

{{#section:Home video game console generations|generations graph}}

==Form factor==
{{multiple image
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| image1 = Black and white Playstation 5 base edition with controller.png
| caption1 = The [[PlayStation 5]] home console
| image2 = Psp-1000.jpg
| caption2 = An example of a handheld console, the Sony [[PlayStation Portable]] (PSP)
| image3 = Nintendo-Switch-Console-Docked-wJoyConRB.jpg
| caption3 = The [[Nintendo Switch]] hybrid console in its dock (right) and [[Joy-Cons]] attached to the grip (left) 
}}

===Home video game console===
[[Home video game console]]s are meant to be connected to a [[television set|television]] or other type of monitor, with power supplied through an outlet. This requires the unit to be used in a fixed location, typically at home in one's living room. Separate game controllers, connected through wired or wireless connections, are used to provide input to the game. Early examples include the [[Atari 2600]], the [[Nintendo Entertainment System]], and the [[Sega Genesis]]; newer examples include the [[Wii U]], the [[PlayStation 5]], and the [[Xbox Series X]].

===Microconsole===
A [[microconsole]] is a home video game console that is typically powered by low-cost computing hardware, making the console lower-priced compared to other home consoles on the market. The majority of microconsoles, with a few exceptions such as the [[PlayStation TV]] and [[OnLive|OnLive Game System]], are [[Android (operating system)|Android]]-based digital media players that are bundled with gamepads and marketed as gaming devices. Such microconsoles can be connected to the television to play video games downloaded from an application store such as [[Google Play]].<ref>{{Cite web |date=2022-04-28 |title=How Microconsoles Transformed TVs into Giant Computers for Cheap |url=https://www.popularmechanics.com/technology/gadgets/a39817148/microconsoles-history/ |access-date=2023-12-07 |website=Popular Mechanics |language=en-US}}</ref>

===Handheld game console===
{{See also|List of handheld game consoles}}

[[Handheld game console]]s are devices that typically include a built-in screen and game controller in their case, and contain a rechargeable battery or battery compartment. This allows the unit to be carried around and played anywhere, in contrast to a home game console. Examples include the [[Game Boy]], the [[PlayStation Portable]], and the [[Nintendo 3DS]].

===Hybrid video game console===
Hybrid video game consoles are devices that can be used either as a handheld or as a home console. They have either a wired connection or [[docking station]] that connects the console unit to a television screen and fixed power source, and the potential to use a separate controller. However, they can also be used as a handheld. While prior handhelds like the [[Sega Nomad]] and [[PlayStation Portable]], or home consoles such as the [[Wii U]], have had these features, some consider the [[Nintendo Switch]] to be the first true hybrid console.<ref>{{cite web | url = https://www.museumofplay.org/about/icheg/video-game-history/timeline | title = Video Game History Timeline | publisher = Strong Museum of Play | access-date = August 16, 2020 | archive-date = September 6, 2021 | archive-url = https://web.archive.org/web/20210906173502/https://www.museumofplay.org/about/icheg/video-game-history/timeline | url-status = live }}</ref><ref>{{cite web | url = https://www.eurogamer.net/articles/digitalfoundry-2018-retro-revisiting-sega-nomad-the-original-switch | title = DF Retro: Revisiting Sega's Nomad - the original Switch? | first = John | last = Linneman | date = May 13, 2018 | access-date = October 21, 2020 | work = [[Eurogamer]] | archive-date = July 9, 2019 | archive-url = https://web.archive.org/web/20190709124753/https://www.eurogamer.net/articles/digitalfoundry-2018-retro-revisiting-sega-nomad-the-original-switch | url-status = live }}</ref>

==Functionality==
Most consoles are considered programmable consoles and have the means for the player to switch between different games. Traditionally, this has been done by switching a physical [[ROM cartridge|game cartridge or game card]] or by using [[optical media]]. It is now common to download games through [[digital distribution of video games|digital distribution]] and store them on internal or external digital storage devices.

===Dedicated console===
[[File:Sega Mega Drive Mini 02.jpg|alt=Image of the Sega Genesis Mini|thumb|The [[Sega Genesis Mini|Sega Genesis (Mega Drive) Mini]] dedicated console]]

Some consoles are considered [[dedicated console]]s, in which [[game]]s available for the console are "baked" onto the hardware, either by being programmed via the circuitry or set in the read-only flash memory of the console. Thus, the console's game library cannot be added to or changed directly by the user. The user can typically switch between games on dedicated consoles using hardware switches on the console, or through in-game menus. Dedicated consoles were common in the first generation of home consoles, such as the [[Magnavox Odyssey]] and the [[Pong#Home version|home console version of ''Pong'']], and more recently have been used for retro style consoles such as the [[NES Classic Edition]] and [[Sega Genesis Mini]].

Dedicated consoles were very popular in the [[first generation of video game consoles|first generation]] until they were gradually replaced by [[second generation of video game consoles|second generation]] that use [[ROM cartridge]]s. The [[fourth generation of video game consoles|fourth generation]] gradually merged with [[optical media]].

===Retro style console===
{{See also|List of retro style video game consoles}}
During the later part of video game history, there have been specialized consoles using computing components to offer multiple games to players. Most of these plug directly into one's television, and thus are often called plug-and-play consoles.  Most of them are also considered dedicated consoles since it is generally impossible to access the computing components by an average consumer, though tech-savvy consumers often have found ways to [[hacker|hack]] the console to install additional functionality, voiding the manufacturer's warranty. Plug-and-play consoles usually come with the console unit itself, one or more controllers, and the required components for power and video hookup. Many recent plug-and-play releases have been for distributing a number of [[Retrogaming|retro games]] for a specific console platform. Examples of these include the [[Atari Flashback series]], the [[NES Classic Edition]], [[Sega Genesis Mini]]<ref name="usgamer plugplay">{{cite web | url = https://www.usgamer.net/articles/are-the-latest-plug-and-play-retro-consoles-worthwhile | title = Are the Latest Plug-and-Play Retro Consoles Worthwhile? | first = Jaz | last = Rignall | date = March 28, 2017 | access-date = July 29, 2020 | work = [[USGamer]] | archive-date = May 12, 2021 | archive-url = https://web.archive.org/web/20210512142524/https://www.usgamer.net/articles/are-the-latest-plug-and-play-retro-consoles-worthwhile | url-status = dead }}</ref> and also handheld retro consoles such as the Nintendo [[Game & Watch: Super Mario Bros.|Game & Watch color screen]] series.

==Components==
===Console unit===
Early console hardware was designed as customized [[printed circuit board]]s (PCB)s, selecting existing [[integrated circuit]] chips that performed known functions, or programmable chips like [[EPROM|erasable programmable read-only memory]] (EPROM) chips that could perform certain functions. {{non sequitur|Persistent computer memory was expensive, so dedicated consoles were generally limited to the use of [[processor register]]s for storage of the state of a game, thus limiting the complexities of such titles.|reason=Processor registers are volatile memory but the sentence says that non-volatile (persistent) memory was expensive.|date=November 2025| post-text=(registers are not persistent memory)}}  ''Pong'' in both its arcade and home format, had a handful of logic and calculation chips that used the current input of the players' paddles and registers storing the ball's position to update the game's state and send it to the display device.<ref>{{cite journal | title =  Videogames in Computer Space: The Complex History of Pong | first = Henry | last = Lowood | journal = [[IEEE Annals of the History of Computing]] | date = July–September 2009 | volume = 31 | issue = 3 | pages = 5–19 | doi = 10.1109/MAHC.2009.53 | s2cid = 7653073 }}</ref> Even with more advanced [[integrated circuit]]s (IC)s of the time, designers were limited to what could be done through the electrical process rather than through programming as normally associated with [[video game development]].

Improvements in console hardware followed with improvements in microprocessor technology and [[semiconductor device fabrication]].<ref name="cpu improve"/> Manufacturing processes have been able to reduce the feature size on chips (typically measured in [[nanometers]]), allowing more [[transistor]]s and other components to fit on a chip, and at the same time increasing the circuit speeds and the potential [[clock rate|frequency]] the chip can run at, as well as reducing [[Thermal management (electronics)|thermal dissipation]]. Chips were able to be made on larger [[Die (integrated circuit)|dies]], further increasing the number of features and effective processing power. [[Random-access memory]] became more practical with the higher density of transistors per chip, but to [[Memory address|address the correct blocks of memory]], processors needed to be updated to use larger [[Word (computer architecture)|word sizes]] and allot for larger [[bandwidth (computing)|bandwidth]] in chip communications.<ref name="cpu improve">{{cite journal | title = Computer Technology and Architecture: An Evolving Interaction | first1 = John | last1 = Hennessey | first2= Norman | last2= Jouppi | journal = [[Computer (journal)|Computer]] | volume = 24 | issue = 9 | date = 1991 | pages = 18–29 | doi = 10.1109/2.84896 | s2cid = 16547464 }}</ref> All these improvements did increase the cost of manufacturing, but at a rate far less than the gains in overall processing power, which helped to make home computers and consoles inexpensive for the consumer, all related to Moore's law of technological improvements.<ref name="cpu improve"/>

For the consoles of the 1980s to 1990s, these improvements were evident in the marketing in the late 1980s to 1990s during the "bit wars", where console manufacturers had focused on their console's processor's word size as a selling point.<ref name="Therrien">{{cite journal|last1=Therrien|first1=Carl|last2=Picard|first2=Martin|date=April 29, 2015|title=Enter the bit wars: A study of video game marketing and platform crafting in the wake of the TurboGrafx-16 launch|journal=[[New Media & Society]]|volume=18|issue=10|pages=2323–2339|doi=10.1177/1461444815584333|s2cid=19553739}}</ref> Consoles since the 2000s are more similar to personal computers, building in memory, storage features, and networking capabilities to avoid the limitations of the past.<ref name="williams"/> The confluence with personal computers eased software development for both computer and console games, allowing developers to target both platforms. However, consoles differ from computers as most of the hardware components are preselected and customized between the console manufacturer and hardware component provider to assure a consistent performance target for developers. Whereas personal computer motherboards are designed with the needs for allowing consumers to add their desired selection of hardware components, the fixed set of hardware for consoles enables console manufacturers to optimize the size and design of the motherboard and hardware, often integrating key hardware components into the motherboard circuitry itself. Often, multiple components, such as the central processing unit and graphics processing unit, can be combined into a single chip, otherwise known as a [[system on a chip]] (SoC), which is a further reduction in size and cost.<ref name="extremetech insides">{{cite news | url = https://www.extremetech.com/gaming/268066-heres-how-the-inside-of-your-gaming-console-really-works | title = How the Inside of Your Game Console Works | first = Joel | last = Hruska | date = May 8, 2020 | access-date = July 29, 2020 | work = [[Extreme Tech]] | archive-date = January 21, 2021 | archive-url = https://web.archive.org/web/20210121052811/https://www.extremetech.com/gaming/268066-heres-how-the-inside-of-your-gaming-console-really-works | url-status = live }}</ref> In addition, consoles tend to focus on components that give the unit high game performance, such as the CPU and GPU, and as a tradeoff to keep their prices in expected ranges, use less memory and storage space compared to typical personal computers.<ref name="fund game dev"/>

In comparison to the early years of the industry, where most consoles were made directly by the company selling the console, many consoles of today are generally constructed through a [[value chain]] that includes component suppliers, such as [[AMD]] and [[NVidia]] for CPU and GPU functions, and [[contract manufacturer]]s including [[electronics manufacturing services]], factories which assemble those components into the final consoles such as [[Foxconn]] and [[Flextronics]]. Completed consoles are then usually tested, distributed, and repaired by the company itself.<ref>{{cite conference | last1 = Tomaselli | first1 = Fernando Claro | first2= Luiz Carlos | last2= Di Serio | first3 = Luciel Henrique | last3= de Oliveira | title = Value chain management and competitive strategy in the home video game industry | conference= 19th Annual Conference POMS | date= 2008 }}</ref> Microsoft and Nintendo both use this approach to their consoles, while Sony maintains all production in-house with the exception of their component suppliers.

{{multiple image
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 | total_width = 250

 | image1 = ATARI 2600 Motherboard.jpg
 | caption1 = The Atari 2600 motherboard, with basic IC chips identified

 | image2 = Sega-Dreamcast-Motherboard-Top.jpg
 | caption2 = The Sega Dreamcast motherboard, incorporating more complex IC circuitry

 | image3 = 
 | caption3 = The PlayStation 3 motherboard, showing the use of System-on-a-Chip (SoC) via the [[Cell (microprocessor)|Cell processor]] (silver chip, just right-of-center)

 | image4 = Xbox-Console-Open-FR.jpg
 | caption4 = An opened first-generation Xbox console with the hard disc drive and optical drive removed, showing components like the power supply (far right), cooling fins, cooling fan, and case features
}}

Some of the commons elements that can be found within console hardware include:
;[[Motherboard]]
:The primary PCB that all of the main chips, including the CPU, are mounted on.

;[[Daughterboard]]
:A secondary PCB that connects to the motherboard that would be used for additional functions. These may include components that can be easily replaced later without having to replace the full motherboard.

;[[Central processing unit]] (CPU)
:The main processing chip on the console that performs most of the computational workload.
:The consoles' CPU is generally defined by its [[Word (computer architecture)|word size]] (such as [[8-bit computing|8-bit]] or [[64-bit computing|64-bit]]), and its [[clock rate|clock speed or frequency]] in [[hertz]]. For some CPUs, the clock speed can be variable in response to software needs. In general, larger word sizes and faster clock sizes indicate better performance, but other factors will impact the actual speed.
:Another distinguishing feature for a console's CPU is the [[instruction set architecture]]. The instruction set defines low-level [[machine code]] to be sent to the CPU to achieve specific results on the chip. Differences in the instruction set architecture of CPU of consoles of a given generation can make for difficulty in [[software portability]]. This had been used by manufacturers to keep software titles exclusive to their platform as one means to compete with others.<ref>{{cite journal | title = Entering the Economic Models of Game Console Manufacturers | first1 = Nabyla | last1 = Daidj | first2 = Isckia | last2 = Thierry | journal = Communications & Strategies | volume = 73 | pages =23 | year = 2009 | ssrn = 1427231 }}</ref> Consoles prior to the sixth generation typically used chips that the hardware and software developers were most familiar with, but as personal computers stabilized on the [[x86]] architecture, console manufacturers followed suit as to help easily port games between computer and console.<ref>{{cite magazine | url = https://www.pcmag.com/news/son-of-pc-the-history-of-x86-game-consoles | title = Son of PC: The History of x86 Game Consoles | first = Benj | last = Edwards | date = August 26, 2016 | access-date = July 31, 2020 | magazine = [[PC Magazine]] | archive-date = December 5, 2020 | archive-url = https://web.archive.org/web/20201205092602/https://www.pcmag.com/news/son-of-pc-the-history-of-x86-game-consoles | url-status = live }}</ref>
:Newer CPUs may also feature [[Multi-core processor|multiple processing cores]], which are also identified in their specification. Multi-core CPUs allow for [[Multithreading (computer architecture)|multithreading]] and [[parallel computing]] in modern games, such as one thread for managing the game's rendering engine, one for the game's physics engine, and another for evaluating the player's input.

;[[Graphical processing unit]] (GPU)
:The processing unit that performs [[Rendering (computer graphics)|rendering]] of data from the CPU to the video output of the console.
:In the earlier console generations, this was generally limited to simple graphic processing routines, such as [[bitmapped graphics]] and manipulation of [[Sprite (computer graphics)|sprites]], all otherwise involving integer mathematics while minimizing the amount of required memory needed to complete these routines, as memo. For example, the Atari 2600 used its own [[Television Interface Adaptor]] that handled video and audio, while the Nintendo Entertainment System used the [[Picture Processing Unit]]. For consoles, these GPUs were also designed to send the signal in the proper analog formation to a [[cathode ray]] television, [[NTSC]] (used in Japan and North America) or [[PAL]] (mostly used in Europe). These two formats differed by their [[refresh rate]]s, 60 versus 50 [[Hertz]], and consoles and games that were manufactured for PAL markets used the CPU and GPU at lower frequencies.<ref>{{cite web | url = https://www.theverge.com/circuitbreaker/2018/11/27/18114073/playstation-classic-pal-ntsc-50hz-letterboxing | title = The US PlayStation Classic has several slower 50Hz PAL games | first = Sam | last = Byford | date = November 27, 2018 | access-date = July 30, 2020 | work = [[The Verge]] | archive-date = November 4, 2021 | archive-url = https://web.archive.org/web/20211104160314/https://www.theverge.com/circuitbreaker/2018/11/27/18114073/playstation-classic-pal-ntsc-50hz-letterboxing | url-status = live }}</ref>
:The introduction of real-time polygonal 3D graphics rendering in the early 1990s&mdash;not just an innovation in video games for consoles but in arcade and personal computer games&mdash;led to the development of GPUs that were capable of performing the [[floating-point]] calculations needed for real-time 3D rendering. In contrast to the CPU, modern GPUs for consoles and computers, principally made by [[AMD]] and [[NVidia]], are highly [[parallel computing]] devices with a number of compute units/streaming multiprocessors (depending on vendor, respectively) within a single chip. Each compute unit/microprocessor contains a [[Scheduling (computing)|scheduler]], a number of subprocessing units, memory caches and buffers, and dispatching and collecting units which also may be highly parallel in nature. Modern console GPUs can be run at a different frequency from the CPU, even at variable frequencies to increases its processing power at the cost of higher energy draw.<ref>{{cite web | url = https://www.extremetech.com/gaming/269335-how-graphics-cards-work | title = How Do Graphics Cards Work? | first = Joel | last = Hruska | date = April 28, 2020 | access-date = July 30, 2020 | work = [[ExtremeTech]] | archive-date = August 16, 2021 | archive-url = https://web.archive.org/web/20210816164728/https://www.extremetech.com/gaming/269335-how-graphics-cards-work | url-status = live }}</ref> The performance of GPUs in consoles can be estimated through [[FLOPS|floating-point operations per second]] (FLOPS) and more commonly as in teraflops (TFLOPS = 10<sup>12</sup> FLOPS). However, particularly for consoles, this is considered a rough number as several other factors such as the CPU, memory bandwidth, and console architecture can impact the GPU's true performance.<ref>{{Cite web | url = https://www.gamesradar.com/what-are-teraflops-ps5-xbox-series-x/ | title = What are teraflops? Why they are so important for next-gen | first = Mike | last = Sawh | date = March 17, 2020 | access-date = July 30, 2020 | work = [[GamesRadar]] | archive-date = July 11, 2021 | archive-url = https://web.archive.org/web/20210711002658/https://www.gamesradar.com/what-are-teraflops-ps5-xbox-series-x/ | url-status = live }}</ref>

;[[Coprocessors]]
:Additional processors used to handle other dedicated functions on the console. Many early consoles feature an audio coprocessor for example.

;[[Northbridge (computing)|Northbridge]]
:The processor unit that, outside of the CPU and GPU, typically manages the fastest processing elements on the computer. Typically this involves communication of data between the CPU, the GPU, and the on-board RAM, and subsequently sending and receiving information with the southbridge.

;[[Southbridge (computing)|Southbridge]]
:The counterpart of the northbridge, the southbridge is the processing unit that handles slower processing components of the console, typically those of [[input/output]] (I/O) with some internal storage and other connected devices like controllers.

;[[BIOS]]
:The console's BIOS (Basic Input/Output System) is the fundamental instruction set baked into a firmware chip on the console circuit board that the console uses when it is first turned on to direct operations. In older consoles, prior to the introduction of onboard storage, the BIOS effectively served as the console's operating system, while in modern consoles, the BIOS is used to direct loading of the console's operating system off internal memory.

;[[Random-access memory]] (RAM)
:Memory storage that is designed for fast reading and writing, often used in consoles to store large amounts of data about a game while it is being played to avoid reading from the slower game media. RAM memory typically does not sustain itself after the console is powered off. Besides the amount of RAM available, a key measurement of performance for consoles is the RAM's bandwidth, how fast in terms of bytes per second that the RAM can be written and read from. This is data that must be transferred to and from the CPU and GPU quickly as needed without requiring these chips to need high memory caches themselves.

;Internal storage
:Newer consoles have included internal storage devices, such as [[flash memory]], [[hard disk drive]]s (HDD) and [[solid-state drive]]s (SSD), to save data persistently. Early application of internal storage was for saving game states, and more recently can be used to store the console's operating system, game patches and updates, games downloaded through the Internet, additional content for those games, and additional media such as purchased movies and music. Most consoles provide the means to manage the data on this storage while respecting the copyrights on the system. Newer consoles, such as the [[PlayStation 5]] and [[Xbox Series X]], use high-speed SSD's not only for storage but to augment the console's RAM, as the combination of their I/O speeds and the use of decompression routines build into the system software give overall read speeds that approach that of the onboard RAM.<ref>{{cite web | url = https://www.tomsguide.com/news/ps5-xbox-series-x-ssd | title = PS5 and Xbox Series X SSDs: How this tech will define next-gen games | first = Marshall | last = Honorof | date = June 21, 2020 | access-date = August 3, 2020 | work = [[Tom's Hardware]] | archive-date = October 22, 2021 | archive-url = https://web.archive.org/web/20211022170706/https://www.tomsguide.com/news/ps5-xbox-series-x-ssd | url-status = live }}</ref>

;[[Power supply]]
:Besides converting [[Alternating current|AC power]] from a wall socket to the [[Direct current|DC power]] needed by the console electronics, the power supply also helps to regulate that power in cases of power surges. Some consoles power supplies are built into the unit, so that the consumer plugs the unit directly to a wall socket, but more often, the console ships with an [[AC adapter]], colloquially known as a "power brick", that converts the power outside of the unit. On handheld units the power supply will either be from a battery compartment, or optionally from a direct power connection from an AC adapter, or from a rechargeable battery pack built into the unit.

;Cooling systems
:More advanced computing systems generate heat, and require active cooling systems to keep the hardware at safe operating temperatures. Many newer consoles are designed with [[Computer fan|cooling fan]]s, engineered [[Fin (extended surface)|cooling fins]], internal layouts, and strategically-placed vents on the casing to assure good [[Convection (heat transfer)|convective heat transfer]] for keeping the internal components cool.

;Media reader
:Since the introduction of game cartridges, nearly all consoles have a cartridge port/reader or an optical drive for game media. In the latter console generations, some console revisions have offered options without a media reader as a means to reduce the console's cost and letting the consumer rely on digital distribution for game acquisition, such as with the [[Xbox One S All-Digital Edition]] or the [[PlayStation 5 Digital Edition]].

;Case
:All consoles are enclosed in a case to protect the electronics from damage and to constrain the air flow for cooling.

;Input/output ports
:Ports for connecting power, controllers, televisions or video monitors, external storage devices, Internet connectivity, and other features are placed in strategic locations on the console. Controller connections are typically offered on the front of the console, while power and most other connections are usually found on the back to keep cables out of the way.

===Controllers===
{{Main|Game controller}}
All game consoles require player input through a game controller to provide a method to move the player character in a specific direction and a variation of buttons to perform other in-game actions such as jumping or interacting with the game world.<ref name="McGuireJenkins20093">{{cite book|url=https://books.google.com/books?id=0G3PKwgvizEC|title=Creating Games: Mechanics, Content, and Technology|publisher=Taylor & Francis|year=2009|isbn=978-1-56881-305-9|page=397|quote=Game pads (such as an Xbox 360 or Guitar Hero controller) often use a combination of digital keys and analog joysticks.|author1=Morgan McGuire|author2=Odest Chadwicke Jenkins|access-date=July 29, 2020|archive-date=July 29, 2020|archive-url=https://web.archive.org/web/20200729160054/https://books.google.com/books?id=0G3PKwgvizEC|url-status=live}}</ref> Though controllers have become more featured over the years, they still provide less control over a game compared to personal computers or mobile gaming.<ref name="Fullerton2008">{{cite book|url=https://books.google.com/books?id=OjIYWtqWxtAC|title=Game Design Workshop: A Playcentric Approach to Creating Innovative Games|date=February 8, 2008|publisher=CRC Press|isbn=978-0-240-80974-8|page=131|quote=Console games usually provide a proprietary controller.|author=Tracy Fullerton|access-date=July 29, 2020|archive-date=July 29, 2020|archive-url=https://web.archive.org/web/20200729162617/https://books.google.com/books?id=OjIYWtqWxtAC|url-status=live}}</ref> The type of controller available to a game can fundamentally change the style of how a console game will or can be played.<ref name="stanford">{{cite web|url=http://www.stanford.edu/group/htgg/cgi-bin/drupal/sites/default/files2/wlu_2003_1.pdf|title=Evolution of Video Game Controllers|last=Lu|first=William|quote=...the controller also specifies the type of experience the player will have by defining what types of games are best played on it due to its design.|access-date=March 28, 2013|archive-date=April 23, 2021|archive-url=https://web.archive.org/web/20210423225554/https://web.stanford.edu/group/htgg/cgi-bin/drupal/sites/default/files2/wlu_2003_1.pdf|url-status=live}}</ref><ref name="McGuireJenkins2009">{{cite book|url=https://books.google.com/books?id=0G3PKwgvizEC|title=Creating Games: Mechanics, Content, and Technology|publisher=Taylor & Francis|year=2009|isbn=978-1-56881-305-9|page=104|quote=Video games depend on their control schemes.|author1=Morgan McGuire|author2=Odest Chadwicke Jenkins|access-date=July 29, 2020|archive-date=July 29, 2020|archive-url=https://web.archive.org/web/20200729160054/https://books.google.com/books?id=0G3PKwgvizEC|url-status=live}}</ref><ref name="McGuireJenkins20092">{{cite book|url=https://books.google.com/books?id=0G3PKwgvizEC|title=Creating Games: Mechanics, Content, and Technology|publisher=Taylor & Francis|year=2009|isbn=978-1-56881-305-9|page=395|quote=A user interface is the player’s entry point into the game world. It governs how a player experiences the virtual environment, game dynamics, and underlying story put forth in a game.|author1=Morgan McGuire|author2=Odest Chadwicke Jenkins|access-date=July 29, 2020|archive-date=July 29, 2020|archive-url=https://web.archive.org/web/20200729160054/https://books.google.com/books?id=0G3PKwgvizEC|url-status=live}}</ref> However, this has also inspired changes in game design to create games that accommodate for the comparatively limited controls available on consoles.<ref name="RouseOgden2005">{{cite book|url=https://books.google.com/books?id=hXwhAQAAIAAJ|title=Game Design: Theory & Practice|publisher=Wordware Pub.|year=2005|isbn=978-1-55622-912-1|page=108|quote=In many console action games, different buttons on the controller will perform the same action.|author1=Richard Rouse|author2=Steve Ogden|access-date=July 29, 2020|archive-date=July 29, 2020|archive-url=https://web.archive.org/web/20200729161306/https://books.google.com/books?id=hXwhAQAAIAAJ|url-status=live}}</ref>

Controllers have come in a variety of styles over the history of consoles. Some common types include:

;[[Paddle (game controller)|Paddle]]
:A unit with a single knob or dial and usually one or two buttons. Turning the knob typically allows one to move an on-screen object along one axis (such as the paddle in a table tennis game), while the buttons can have additional features.

;[[Joystick]]
:A unit that has a long handle that can pivot freely along multiple directions along with one or more buttons. The unit senses the direction that the joystick is pushed, allowing for simultaneous movement in two directions within a game.

;[[Gamepad]]
:A unit that contains a variety of buttons, triggers, and directional controls{{snd}} either [[D-pad]]s or [[analog stick]]s or both. These have become the most common type of controller since the third generation of console hardware, with designs becoming more detailed to give a larger array of buttons and directional controls to player's while maintaining ergonomic features.

Numerous other controller types exist, including those that support [[motion control]]s, [[touchscreen]] support on handhelds and some consoles, and specialized controllers for specific types of games, such as [[racing wheel]]s for [[racing game]]s, [[light gun]]s for [[shooting game]]s, and [[rhythm game accessories|musical instrument controllers]] for [[rhythm games]]. Some newer consoles also include optional support for a [[computer mouse|mouse]] and [[computer keyboard|keyboard]] devices. Some older consoles such as 1988 [[Sega Genesis]] aka Mega Drive and 1993 [[3DO Interactive Multiplayer]], supported optional mice, both with special mice made for them, but the 3DO mouse like that console was a flop, and the mouse for the Sega had very limited game support. The Sega also supported the optional [[Menacer]], a wireless infrared light gun, and such were at one point popular for games. It also support [[BatterUP]], a baseball bat-shaped controller.

A controller may be attached through a wired connection onto the console itself, or in some unique cases like the Famicom hardwired to the console, or with a wireless connection. Controllers require power, either provided by the console via the wired connection, or from batteries or a rechargeable battery pack for wireless connections. Controllers are nominally built into a handheld unit, though some newer ones allow for separate wireless controllers to also be used.

{{multiple image
| align             = center
| total_width       = 800
| image1            = Magnavox-Odyssey-Controller-FL.jpg
| caption1          = The Magnavox Odyssey dual-paddle controller
| image2            = Atari-2600-Joystick.jpg
| caption2          = The Atari CX40 joystick
| image3            = Nintendo-Entertainment-System-NES-Controller-FL.jpg
| caption3          = The Nintendo Entertainment System gamepad with a single D-pad and four buttons
| image4            = Playstation DualSense Controller.png
| caption4          = A modern controller, the DualSense for the Sony PlayStation 5, with multiple directional controls and buttons
}}

===Game media===
While the first game consoles were dedicated game systems, with the games programmed into the console's hardware, the [[Fairchild Channel F]] introduced the ability to store games in a form separate from the console's internal circuitry, thus allowing the consumer to purchase new games to play on the system. Since the Channel F, nearly all game consoles have featured the ability to purchase and swap games through some form, through those forms have changes with improvements in technology.

;[[ROM cartridge]] or game cartridge
:The [[read-only memory]] (ROM) cartridge was introduced with the Fairchild Channel F. A ROM cartridge consist of a [[printed circuit board]] (PCB) housed inside of a plastic casing, with a connector allowing the device to interface with the console. The circuit board can contain a wide variety of components, at the minimum, the read-only memory with the software written on it. Later cartridges were able to introduce additional components onto the circuit board like coprocessors, such as Nintendo's [[SuperFX]] chip, to enhance the performance of the console.<ref>{{cite web| last =Polsson| first =Ken| title =Chronology of Video Game Systems| date =May 9, 2007| url =http://www.islandnet.com/~kpolsson/vidgame/vid1995.htm| access-date =June 9, 2007| archive-date =October 7, 2021| archive-url =https://web.archive.org/web/20211007004221/http://www.islandnet.com/~kpolsson/vidgame/vid1995.htm| url-status =live}}</ref> Some consoles such as the [[Turbografx-16]] used a [[smart card]]-like technology to flatten the cartridge to a credit-card-sized system, which helped to reduce production costs, but limited additional features that could be included onto the circuitry.<ref>{{cite web | url = https://www.gamasutra.com/view/feature/225466/stalled_engine_the_turbografx16_.php | title = Stalled engine: The TurboGrafx-16 turns 25 | first = Christian | last = Nutt | date = September 12, 2014 | access-date = July 29, 2020 | work = [[Gamasutra]] | archive-date = June 27, 2017 | archive-url = https://web.archive.org/web/20170627080057/https://www.gamasutra.com/view/feature/225466/stalled_engine_the_turbografx16_.php | url-status = dead }}</ref> PCB-based cartridges waned with the introduction of optical media during the fifth generation of consoles. More recently, ROM cartridges have been based on high memory density, low cost [[flash memory]], which allows for easier mass production of games. Sony used this approach for the PlayStation Vita,<ref>{{cite web|url=http://www.gamespot.com/features/e3-2011-sony-playstation-vita-inside-and-out-6317468/|title=E3 2011: Sony PlayStation Vita: Inside and Out|author=Sarju Shah|website=GameSpot.com|publisher=CBS Interactive, Inc.|date=June 7, 2011|access-date=June 11, 2011|archive-date=October 6, 2013|archive-url=https://web.archive.org/web/20131006000425/http://www.gamespot.com/features/e3-2011-sony-playstation-vita-inside-and-out-6317468/|url-status=live}}</ref> and Nintendo continues to use ROM cartridges for its 3DS and Switch products.

;[[Optical media]]
:Optical media, such as [[CD-ROM]], [[DVD]], and [[Blu-ray]], became the primary format for retail distribution with the fifth generation. The CD-ROM format had gained popularity in the 1990s, in the midst of the fourth generation, and as a game media, CD-ROMs were cheaper and faster to produce, offered much more storage space and allowed for the potential of [[full-motion video]].<ref>{{cite journal | title = Hardware gimmick or cultural innovation? Technological, cultural, and social foundations of the Japanese video game industry | first1 = Yuko | last1 = Aoyama | first2= Hiro  |last2= Izushi | journal = [[Research Policy]] | volume = 32 | issue =3 | date = 2003 | pages = 423–444 |  doi = 10.1016/S0048-7333(02)00016-1 }}</ref> Several console manufacturers attempted to offer CD-ROM add-ons to fourth generation consoles, but these were nearly as expensive as the consoles themselves and did not fare well. Instead, the CD-ROM format became integrated into consoles of the fifth generation, with the DVD format present across most by the seventh generation and Blu-ray by the eighth. Console manufacturers have also used proprietary disc formats for copy protection as well, such as the [[Nintendo optical disc]] used on the GameCube, and Sony's [[Universal Media Disc]] on the PlayStation Portable.

;[[Digital distribution]]
:Since the seventh generation of consoles, most consoles include integrated connectivity to the [[Internet]] and both internal and external storage for the console, allowing for players to acquire new games without game media. All three of Nintendo, Sony, and Microsoft offer an integrated storefront for consumers to purchase new games and download them to their console, retaining the consumers' purchases across different consoles, and offering sales and incentives at times.

;[[Cloud gaming]]
:As Internet access speeds improved throughout the eighth generation of consoles, cloud gaming had gained further attention as a media format. Instead of downloading games, the consumer plays them directly from a cloud gaming service with inputs performed on the local console sent through the Internet to the server with the rendered graphics and audio sent back. [[Network delay|Latency]] in network transmission remains a core limitation for cloud gaming at the present time.

While [[magnetic storage]], such as [[tape drive]]s and [[floppy disk]]s, had been popular for software distribution with early personal computers in the 1980s and 1990s, this format did not see much use in console systems. There were some attempts, such as the [[Bally Astrocade]] and [[APF-M1000]] using tape drives, as well as the [[Family Computer Disk System|Disk System]] for the Nintendo Famicom,<ref>{{cite web|title=Family Computer Disk System|date=January 20, 2000|url=http://www.atarihq.com/tsr/fds/fds.html|access-date=June 20, 2007|archive-date=April 22, 2021|archive-url=https://web.archive.org/web/20210422033614/http://www.atarihq.com/tsr/fds/fds.html|url-status=live}}</ref> and the [[Nintendo 64DD]] for the Nintendo 64, but these had limited applications, as magnetic media was more fragile and volatile than game cartridges.<ref>{{cite web|last=Swearingen|first=Kirsten|author2=Peter Charles|author3=Nathan Good|author4=Laheem Lamar Jordan|author5=Joyojeet Pal|title=How Much Information? 2003|url=http://www2.sims.berkeley.edu/research/projects/how-much-info-2003/magnetic.htm|access-date=June 20, 2007|archive-date=November 11, 2021|archive-url=https://web.archive.org/web/20211111020313/https://www2.sims.berkeley.edu/research/projects/how-much-info-2003/magnetic.htm|url-status=live}}</ref>

{{multiple image
 | align = center
 | total_width = 600
 | image1 = Cartridge Fairchild Channel F.jpg
 | caption1 = A Fairchild Channel F cartridge, exposing the circuit contacts on the PCB
 | image2 = Wii-optical-case.png
 | caption2 = A Nintendo Wii optical disc
 | image3 = Google Stadia Cloud gaming (48605754611).jpg
 | caption3 = Mobile device running cloud game on [[Google Stadia|Stadia]] with official controller
}}

===External storage===
[[File:PSX-Memory-Card.jpg|thumb|right|A PlayStation memory card]]
In addition to built-in internal storage, newer consoles often give the consumer the ability to use external storage media to save game data, downloaded games, or other media files from the console. Early iterations of external storage were achieved through the use of flash-based [[memory card]]s, first used by the [[Neo Geo (system)|Neo Geo]] but popularized with the PlayStation. Nintendo continues to support this approach with extending the storage capabilities of the 3DS and Switch, standardizing on the current [[SD card]] format. As consoles began incorporating the use of [[USB]] ports, support for USB external hard drives was also added, such as with the Xbox 360.

===Online services===
{{Main|Online console gaming}}
With Internet-enabled consoles, console manufacturers offer both free and paid-subscription services that provide [[value-added service]]s atop the basic functions of the console. Free services generally offer user identity services and access to a digital storefront, while paid services allow players to play online games, interact with other uses through social networking, use cloud saves for supported games, and gain access to free titles on a rotating basis. Examples of such services include the [[Xbox network]], [[PlayStation Network]], and [[Nintendo Switch Online]].

===Console add-ons===
Certain consoles saw various add-ons or accessories that were designed to attach to the existing console to extend its functionality. The best example of this was through the various CD-ROM add-ons for consoles of the fourth generation such as the TurboGrafx CD, [[Atari Jaguar CD]], and the [[Sega CD]]. Other examples of add-ons include the [[32X]] for the [[Sega Genesis]] intended to allow owners of the aging console to play newer games but has several technical faults, and the [[Game Boy Player]] for the GameCube to allow it to play Game Boy games.

===Accessories===
Consumers can often purchase a range of accessories for consoles outside of the above categories. These can include:

;[[Video camera]]
:While these can be used with Internet-connected consoles like [[webcam]]s for communication with other friends as they would be used on personal computers, video camera applications on consoles are more commonly used in [[augmented reality]]/[[mixed reality]] and [[motion sensing]] games. Devices like the [[EyeToy]] for PlayStation consoles and the [[Kinect]] for Xbox consoles were center-points for a range of games to support these devices on their respective systems.

;Standard [[Headset (audio)|Headsets]]
:Headsets provide a combination of headphones and a microphone for chatting with other players without disturbing others nearby in the same room.

;[[Virtual reality]] headsets
:Some virtual reality (VR) headsets can operate independently of consoles or use personal computers for their main processing system. {{As of|2020}}, the only direct VR support on consoles is the [[PlayStation VR]], though support for VR on other consoles is planned by the other manufacturers.

;[[Docking station]]
:For handheld systems as well as hybrids such as the Nintendo Switch, the docking station makes it easy to insert a handheld to recharge its battery, and if supported, for connecting the handheld to a television screen.

{{multiple image
 | align = center
 | total_width = 600
 | image1 = Xbox-One-Kinect.jpg
 | caption1 = Kinect for Xbox One
 | image2 =
 | caption2 = PlayStation Wireless Stereo Headset
 | image3 = Sony-PlayStation-4-PSVR-Headset-Mk1-FL.jpg
 | caption3 = Virtual reality headset PlayStation VR
 | image4 = Nintendo Switch Dock.png
 | caption4 = Docking station for Nintendo Switch
}}

==Game development==
The core development process for a console game is very similar to its counterparts and primarily differs in the high level concept due to demographics<ref name="RollingsAdams2003_2">{{cite book |author1=Andrew Rollings |url=https://books.google.com/books?id=Qc19ChiOUI4C |title=Andrew Rollings and Ernest Adams on Game Design |author2=Ernest Adams |publisher=New Riders |year=2003 |isbn=978-1-59273-001-8 |page=174}}</ref> and the technical back-end.<ref name="CrawfordCrawford1984">{{cite book |author1=Linda L Crawford |url=https://books.google.com/books?id=H0k1NgAACAAJ |title=The Art of Computer Game Design: Reflections of a Master Game Designer |author2=Chris Crawford |date=January 1, 1984 |publisher=McGraw-Hill Osborne Media |isbn=978-0-07-881117-3 |page=46 |quote=Finally, my experience in game design is primarily with personal computers, so my suggestions are not completely applicable to arcade game designers or home video game designers.}}</ref> Consoles developers will usually make a development kit available to game developers which they can use to test their games on with more ease than a consumer model.

Early console games were commonly created by a single person and could be changed in a short amount of time due to the simplicity of the games at the time.<ref name="RollingsAdams2003">{{cite book |author1=Andrew Rollings |url=https://books.google.com/books?id=Qc19ChiOUI4C |title=Andrew Rollings and Ernest Adams on Game Design |author2=Ernest Adams |publisher=New Riders |year=2003 |isbn=978-1-59273-001-8 |page=13}}</ref> As technology has improved, the development time, complexity and cost of console games has increased dramatically,<ref name="Fullerton2008-22">{{cite book |author=Tracy Fullerton |url=https://books.google.com/books?id=OjIYWtqWxtAC |title=Game Design Workshop: A Playcentric Approach to Creating Innovative Games |date=February 8, 2008 |publisher=CRC Press |isbn=978-0-240-80974-8 |page=238 |quote=The de facto standard language for today’s PC and console games has been C++ for a number of years}}</ref> to where the size of a team for an eighth generation game can number in the hundreds.<ref>{{Cite web |title=Credits – Battlelog / Battlefield 4 |url=https://battlelog.battlefield.com/bf4/credits/ |access-date=April 15, 2017 |website=battlelog.battlefield.com |language=en}}</ref> Similarly, the [[Game programming|programming languages]] used in video game development has changed over time with early games being developed primarily in assembly. As time went on developers had more choice on what they could use based on the availability on the console but some languages became more popular than others.<ref name="Fullerton2008-22"/>

In comparison to PC and mobile games, console game developers must consider the limitations of the hardware their game is being developed for, as it is unlikely to have any major changes between the development phase and release. PC and mobile technology progresses quickly and there are many different configurations of their hardware and software. This is beneficial at the start of a console's life cycle, as the technology will be cutting edge, but as the console ages, developers are forced to work with ageing hardware until the next generation of consoles is released. Earlier consoles games could be developed to take advantage of the fixed limitations of the consoles they were developed for, such as the [[MegaDrive]]'s capability of fast scrolling influencing design decisions made for ''Sonic the Hedgehog''.<ref name="Schell2008">{{cite book |author=Jesse Schell |url=https://books.google.com/books?id=LP5xOYMjQKQC |title=The Art of Game Design: A book of lenses |date=August 4, 2008 |publisher=CRC Press |isbn=978-0-12-369496-6 |page=407}}</ref>

===Console development kits===
{{Main|Game development kit}}
Console or game development kits are specialized hardware units that typically include the same components as the console and additional chips and components to allow the unit to be connected to a computer or other monitoring device for debugging purposes. A console manufacturer will make the console's dev kit available to registered developers months ahead of the console's planned launch to give developers time to prepare their games for the new system. These initial kits will usually be offered under special confidentiality clauses to protect trade secrets of the console's design, and will be sold at a high cost to the developer as part of keeping this confidentiality.<ref name="fund game dev">{{cite book | title = Fundamentals of Game Design | first =Earnst | last = Adams | page = 105 | date = 2014 | isbn = 9780321929679 | publisher = [[New Riders Press]] }}</ref> Newer consoles that share features in common with personal computers may no longer use specialized dev kits, though developers are still expected to register and purchase access to [[software development kit]]s from the manufacturer. For example, any consumer [[Xbox One]] can be used for game development after paying a fee to Microsoft to register one intent to do so.<ref>{{cite web | url = https://www.polygon.com/2016/3/30/11318568/xbox-one-dev-kit | title = Starting today, anyone can turn their Xbox One into a dev kit for free | first = Brian | last = Crecente | date = March 30, 2016 | access-date = July 31, 2020 | work = [[Polygon (website)|Polygon]] | archive-date = September 2, 2021 | archive-url = https://web.archive.org/web/20210902105644/https://www.polygon.com/2016/3/30/11318568/xbox-one-dev-kit | url-status = live }}</ref>

===Licensing===
Since the release of the Nintendo Famicom / Nintendo Entertainment System, most video game console manufacturers employ a strict licensing scheme that limit what games can be developed for it. Developers and their publishers must pay a fee, typically based on [[Royalty payment|royalty]] per unit sold, back to the manufacturer. The cost varies by manufacturer but was estimated to be about {{USD|3-10}} per unit in 2012. With additional fees, such as branding rights, this has generally worked out to be an industry-wide 30% royalty rate paid to the console manufacturer for every game sold.<ref name="ign licensing">{{Cite web | url = https://www.ign.com/articles/2006/05/06/the-economics-of-game-publishing | title = The Economics of Game Publishing | first = Ralph | last = Edwards | date = May 6, 2020 | access-date = August 11, 2020 | work = [[IGN]] | archive-date = May 20, 2021 | archive-url = https://web.archive.org/web/20210520180001/https://www.ign.com/articles/2006/05/06/the-economics-of-game-publishing | url-status = live }}</ref><ref>{{cite web | url = https://www.bloomberg.com/news/articles/2020-08-19/epic-games-fortnite-battle-with-apple-and-google-can-be-traced-to-nintendo-tax | title = Epic's Battle With Apple and Google Actually Dates Back to Pac-Man | first1 = Takahashi | last1 = Mochizuki | first2 = Vlad | last2 = Savov | date = August 25, 2020 | access-date = August 25, 2020 | work = [[Bloomberg News]] | archive-date = November 6, 2021 | archive-url = https://web.archive.org/web/20211106025128/https://www.bloomberg.com/news/articles/2020-08-19/epic-games-fortnite-battle-with-apple-and-google-can-be-traced-to-nintendo-tax | url-status = live }}</ref> This is in addition to the cost of acquiring the dev kit to develop for the system.

The licensing fee may be collected in a few different ways. In the case of Nintendo, the company generally has controlled the production of game cartridges with its lockout chips and optical media for its systems, and thus charges the developer or publisher for each copy it makes as an upfront fee. This also allows Nintendo to review the game's content prior to release and veto games it does not believe appropriate to include on its system. This had led to over 700 unlicensed games for the NES,<ref>{{cite book | title = The NES Encyclopedia: Every Game Released for the Nintendo Entertainment System | first = Chris | last=  Scullion | date = 2019 | chapter = Unlicensed Games | pages= 216 | publisher = Pen & Sword Books Ltd. | isbn = 978-1526737823 }}</ref> and numerous others on other Nintendo cartridge-based systems that had found ways to bypass the hardware lockout chips and sell without paying any royalties to Nintendo, such as by Atari in its subsidiary company [[Tengen (company)|Tengen]].<ref>{{cite web | url = https://www.vice.com/en/article/how-third-party-game-devs-reverse-engineered-their-way-onto-your-consoles-nintendo-sega-atari/ | title = How Third-Party Game Devs Reverse-Engineered Their Way Onto Your Consoles (and Into Your Heart) | first = Ernie | last = Smith | date = March 18, 2017 | access-date = August 11, 2020 | work = [[Vice (magazine)|Vice]] | archive-date = June 20, 2020 | archive-url = https://web.archive.org/web/20200620183356/https://www.vice.com/en_us/article/9amg87/how-third-party-game-devs-reverse-engineered-their-way-onto-your-consoles-nintendo-sega-atari | url-status = live }}</ref> This licensing approach was similarly used by most other cartridge-based console manufacturers using lockout chip technology.<ref>{{cite journal | title = Production Protection to Copy(right) Protection: From the 10NES to DVDs | first = Casey | last = O'Donnell | journal = IEEE Annals of the History of Computing | pages =54–63 | volume = 31 | issue = 3 | doi = 10.1109/MAHC.2009.49 | date =2009 | s2cid = 14026551 }}</ref>

With optical media, where the console manufacturer may not have direct control on the production of the media, the developer or publisher typically must establish a licensing agreement to gain access to the console's proprietary storage format for the media as well as to use the console and manufacturer's logos and branding for the game's packaging, paid back through royalties on sales.<ref name="ign licensing"/> In the transition to digital distribution, where now the console manufacturer runs digital storefronts for games, license fees apply to registering a game for distribution on the storefront{{snd}} again gaining access to the console's branding and logo{{snd}} with the manufacturer taking its cut of each sale as its royalty.<ref name="ign licensing"/> In both cases, this still gives console manufacturers the ability to review and reject games it believes unsuitable for the system and deny licensing rights.

With the rise of [[indie game development]], the major console manufacturers have all developed entry level routes for these smaller developers to be able to publish onto consoles at far lower costs and reduced royalty rates. Programs like Microsoft's [[ID@Xbox]] give developers most of the needed tools for free after validating the small development size and needs of the team.<ref>{{cite web | url=http://www.destructoid.com/what-do-indie-developers-think-about-the-id-xbox-program--272223.phtml | title=What do indie developers think about the ID@Xbox program? | work=Destructoid | first=Brett | last=Makedonski | date=March 20, 2014 | access-date=February 7, 2015 | archive-date=November 26, 2020 | archive-url=https://web.archive.org/web/20201126034955/https://www.destructoid.com/what-do-indie-developers-think-about-the-id-xbox-program--272223.phtml | url-status=dead }}</ref>

Similar licensing concepts apply for third-party accessory manufacturers.<ref name="ign licensing"/>

==Emulation and backward compatibility==
{{Main|Video game console emulator|Backward compatibility}}
Consoles, like most consumer electronic devices, have limited lifespans. There is great interest in [[video game preservation|preservation]] of older console hardware for archival and historical purposes, as games from older consoles, as well as arcade and personal computers, remain of interest. Computer programmers and hackers have developed emulators that can be run on personal computers or other consoles that simulate the hardware of older consoles that allow games from that console to be run. The development of software emulators of console hardware is established to be legal, but there are unanswered legal questions surrounding [[copyright]]s, including acquiring a console's [[firmware]] and copies of a game's [[ROM image]], which laws such as the United States' [[Digital Millennium Copyright Act]] make illegal save for certain archival purposes.<ref>{{cite web | url = https://www.pcgamer.com/the-ethics-of-emulation-how-creators-the-community-and-the-law-view-console-emulators/ | title = The ethics of emulation: how creators, the community, and the law view console emulators | first = Wes | last = Fenlon | date = March 28, 2017 | access-date = July 31, 2020 | work = [[PC Gamer]] | archive-date = November 18, 2021 | archive-url = https://web.archive.org/web/20211118222042/https://www.pcgamer.com/the-ethics-of-emulation-how-creators-the-community-and-the-law-view-console-emulators/ | url-status = live }}</ref> Even though emulation itself is legal, Nintendo is recognized to be highly protective of any attempts to emulate its systems and has taken early legal actions to shut down such projects.<ref name="game over white paper">{{cite journal | title= Use of a Game Over: Emulation and the Video Game Industry, A White Paper | first1= James | last1= Conley | first2= Ed | last2= Andros | first3= Priti | last3= Chinai | first4= Elise | last4= Lipkowitz | first5= David | last5= Perez | journal= Northwestern Journal of Technology and Intellectual Property | volume= 2 | issue= 2 | date= Spring 2004 | url= https://scholarlycommons.law.northwestern.edu/njtip/vol2/iss2/3/ | access-date= September 2, 2020 | archive-date= November 18, 2021 | archive-url= https://web.archive.org/web/20211118235114/https://scholarlycommons.law.northwestern.edu/njtip/vol2/iss2/3/ | url-status= live }}</ref>

To help support older games and console transitions, manufacturers started to support backward compatibility on consoles in the same family. Sony was the first to do this on a home console with the [[PlayStation 2]] which was able to play original [[PlayStation (console)|PlayStation]] content, and subsequently became a sought-after feature across many consoles that followed.<ref>{{cite journal | title = Generational Transitions in Platform Markets— The Role of Backward Compatibility | first1 = Tobias | last1 = Kretschmer | first2 = Jörg | last2 = Claussen | journal = Strategy Science | volume = 1 | issue = 2 | pages = 90–104 | date = June 2016 | doi = 10.1287/stsc.2015.0009 | doi-access = free | hdl = 10398/542b2963-1b69-4890-9ab5-7a99fc8fe804 | hdl-access = free }}</ref> Backward compatibility functionality has included direct support for previous console games on the newer consoles such as within the [[Xbox]] console family,<ref>{{Cite web|last=Orland|first=Kyle|date=July 16, 2020|title=Xbox Series X won't support Kinect hardware, games|url=https://arstechnica.com/gaming/2020/07/xbox-series-x-wont-support-kinect-hardware-games/|access-date=July 17, 2020|website=Ars Technica|language=en-us|archive-date=July 17, 2020|archive-url=https://web.archive.org/web/20200717053550/https://arstechnica.com/gaming/2020/07/xbox-series-x-wont-support-kinect-hardware-games/|url-status=live}}</ref> the distribution of emulated games such as [[Nintendo]]'s [[Virtual Console]], or using [[cloud gaming]] services for these older games as with the [[PlayStation Now]] service.

==Market==

===Distribution===
[[File:BEST-SELLING GAME CONSOLES VIS2.svg|thumb|Visualization of the Best-Selling game consoles from 1977 to 2024.]]
Consoles may be shipped in a variety of configurations, but typically will include one base configuration that include the console, one controller, and sometimes a [[pack-in game]]. Manufacturers may offer alternate [[stock keeping unit]] (SKUs) options that include additional controllers and accessories or different pack-in games. Special console editions may feature unique cases or faceplates with art dedicated to a specific video game or series and are bundled with that game as a special incentive for its fans. Pack-in games are typically first-party games, often featuring the console's primary [[video game mascot|mascot characters]].<ref name="geemu"/>

The more recent console generations have also seen multiple versions of the same base console system either offered at launch or presented as a mid-generation refresh. In some cases, these simply replace some parts of the hardware with cheaper or more efficient parts, or otherwise streamline the console's design for production going forward; the [[PlayStation 3 technical specifications|PlayStation 3]] underwent several such hardware refreshes during its lifetime due to technological improvements such as significant reduction of the [[Semiconductor device fabrication|process node]] size for the CPU and GPU.<ref>{{cite magazine | url = https://www.wired.com/2009/08/sony-drops-price-of-playstation-3-unveils-slim-model/ | title = Sony Drops Price of PlayStation 3, Unveils Slim Model | first = Gus | last = Mastrapa | date = August 19, 2009 | access-date = August 15, 2020 | magazine = [[Wired (magazine)|Wired]] | archive-date = April 15, 2021 | archive-url = https://web.archive.org/web/20210415131736/https://www.wired.com/2009/08/sony-drops-price-of-playstation-3-unveils-slim-model/ | url-status = live }}</ref> In these cases, the hardware revision model will be marked on packaging so that consumers can verify which version they are acquiring.<ref>{{cite web | url = https://www.polygon.com/2019/8/13/20803700/nintendo-switch-new-model-number-release-date-battery-how-to-find-guide | title = Updated Nintendo Switch with better battery life now in stores | first = Michael | last = McWhertor | date = August 13, 2019 | access-date = August 15, 2020 | work = [[Polygon (website)|Polygon]] | archive-date = July 20, 2021 | archive-url = https://web.archive.org/web/20210720055545/https://www.polygon.com/2019/8/13/20803700/nintendo-switch-new-model-number-release-date-battery-how-to-find-guide | url-status = live }}</ref>

In other cases, the hardware changes create multiple lines within the same console family. The base console unit in all revisions share fundamental hardware, but options like internal storage space and RAM size may be different. Those systems with more storage and RAM would be marked as a higher performance variant available at a higher cost, while the original unit would remain as a budget option. For example, within the [[Xbox One]] family, Microsoft released the mid-generation [[Xbox One X]] as a higher performance console, the [[Xbox One S]] as the lower-cost base console, and a special [[Xbox One S All-Digital Edition]] revision that removed the optical drive on the basis that users could download all games digitally, offered at even a lower cost than the Xbox One S. In these cases, developers can often optimize games to work better on the higher-performance console with patches to the retail version of the game.<ref>{{cite web | url = https://www.ign.com/articles/2019/04/16/microsoft-unveils-xbox-one-s-all-digital-edition-console | title = Microsoft Unveils Xbox One S All-Digital Edition Console | first = Brandin | last = Tyrrel | date = April 16, 2019 | access-date = August 15, 2020 | work = [[IGN]] | archive-date = April 19, 2021 | archive-url = https://web.archive.org/web/20210419205637/https://www.ign.com/articles/2019/04/16/microsoft-unveils-xbox-one-s-all-digital-edition-console | url-status = live }}</ref> In the case of the [[Nintendo 3DS]], the [[New Nintendo 3DS]], featured upgraded memory and processors, with new games that could only be run on the upgraded units and cannot be run on an older base unit.<ref name="New N3DS at Polygon">{{cite web |title=Nintendo reveals the New Nintendo 3DS |first=Emily |last=Gera |date=August 29, 2014 |url=http://www.polygon.com/2014/8/29/6082241/nintendo-reveals-the-new-nintendo-3ds |website=[[Polygon (website)|Polygon]] |access-date=August 29, 2014 |archive-date=October 31, 2021 |archive-url=https://web.archive.org/web/20211031134231/https://www.polygon.com/2014/8/29/6082241/nintendo-reveals-the-new-nintendo-3ds |url-status=live }}</ref> There have also been a number of "slimmed-down" console options with significantly reduced hardware components that significantly reduced the price they could sell the console to the consumer, but either leaving certain features off the console, such as the [[Wii Mini]] that lacked any online components compared to the [[Wii]], or that required the consumer to purchase additional accessories and wiring if they did not already own it, such as the [[New-Style NES]] that was not bundled with the required RF hardware to connect to a television.<ref>{{cite web | url = https://www.theverge.com/circuitbreaker/2019/7/11/20690011/nintendo-switch-lite-game-console-redesign-xbox-playstation | title = A Brief History Of Cutdown Game Consoles | first = Sam | last = Byford | date = July 11, 2019 | access-date = November 9, 2020 | work = [[The Verge]] | archive-date = February 25, 2021 | archive-url = https://web.archive.org/web/20210225144433/https://www.theverge.com/circuitbreaker/2019/7/11/20690011/nintendo-switch-lite-game-console-redesign-xbox-playstation | url-status = live }}</ref>

===Pricing===
{| class="wikitable" align="right" style="text-align:center; font-size:small;"
! colspan="5" | Console release prices (in [[United States dollar|U.S. Dollars]]) and total sales<ref name="arstech console price">{{cite web | url = https://arstechnica.com/gaming/2020/02/is-the-us-market-ready-to-embrace-a-500-game-console/ | title = Is the US market ready to embrace a $500 game console? | first = Kyle | last = Orland | date = February 20, 2020 | access-date = August 1, 2020 | work = [[Ars Technica]] | archive-date = October 19, 2021 | archive-url = https://web.archive.org/web/20211019141440/https://arstechnica.com/gaming/2020/02/is-the-us-market-ready-to-embrace-a-500-game-console/ | url-status = live }}</ref><ref name="gamble chapter">{{cite book | title = Crafting and Executing Strategy: The Quest for Competitive Advantage: Concepts and Cases | editor-first1=Arthur | editor-last1= Thompson |editor-first2=A. J. | editor-last2 = Strickland III | editor-first3 = John | editor-last3 = Gamble | chapter = Competition in Video Game Consoles: Sony, Microsoft and Nintendo Battle for Supremacy | first = John  |last = Gamble | pages = C-198-C211 | isbn =  978-0073381244 |year = 2007 | publisher = [[McGraw-Hill]] }}</ref>
|-
! rowspan="2" | Console
! rowspan="2" | Release year (U.S.)
! colspan="2" | Introductory price (U.S.)
! rowspan="2" | Global Sales (Units)
|-
! Originally{{NoteTag|Based on pricing of base model at launch within the United States}}
! 2020 inflation{{NoteTag|Based on the [[Bureau of Labor Statistics]] [[Consumer Price Index]]}}
|-
! colspan="5" | First generation
|- 
| Magnavox Odyssey || 1972 || $100 || $553 || {{Wikidata|properties|references|Q744987|P2664}}
|-
! colspan="5" | Second generation
|-
| Atari 2600 || 1977 || $200 || $882 || 30,000,000
|- 
| Intellivision || 1979 || $300 || $996 || 3,000,000
|-
| Atari 5200 || 1982 || $270 || $740 || 1,400,000
|-
| Colecovision || 1982 || $175 || $480 || 2,000,000
|-
! colspan="5" | Third generation
|-
| NES || 1985 || $200 || $490 || 61,900,000
|-
| Atari 7800 || 1986 || $150 || $380 || 3,770,000
|-
| Master System || 1986 || $200 || $470 || 13,000,000
|-
! colspan="5" | Fourth generation
|- style="background-color: aliceblue;"
| Game Boy || 1989 || $110 || $234 || 64,400,000
|-
| TurboGrafx-16 || 1989 || $200 || $426 || 5,800,000
|-
| Genesis || 1989 || $190 || $405 || 30,750,000
|-
| SNES || 1991 || $200 || $384 || 49,100,000
|-
| CD-I || 1991 || $400 || $768 || 1,000,000
|-
| Neo Geo || 1991 || $650 || $1248 || 980,000
|- 
| Sega CD || 1992 || $300 || $561 || 2,240,000
|-
! colspan="5" | Fifth generation
|-
| Atari Jaguar || 1993 || $250 || $453 || 250,000
|- 
| 3DO || 1993 || $700 || $1267 || 2,000,000
|-
| 32X || 1994 || $160 || $282 || 665,000
|-
| PlayStation || 1995 || $300 || $516 || 102,490,000
|- 
| Sega Saturn || 1995 || $400 || $688 || 9,260,000
|-
| Nintendo 64 || 1996 || $200 || $334 || 32,390,000
|- style="background-color: aliceblue;"
| Game Boy Color || 1998 ||  ||  || 49,300,000
|-
! colspan="5" | Sixth generation
|-
| Dreamcast || 1999 || $200 || $314 || 9,130,000
|-
| PlayStation 2 || 2000 || $300 || $459 || 155,000,000
|-
| GameCube || 2001 || $200 || $294 || 21,740,000
|-
| Xbox || 2001 || $300 || $441 || 24,000,000
|- style="background-color: aliceblue;"
| Game Boy Advance || 2001 || $100 || $147 || 118,690,000
|- style="background-color: aliceblue;"
| N-Gage || 2003 || $300 || $416 || 3,000,000
|-
! colspan="5" | Seventh generation
|- style="background-color: aliceblue;"
| Nintendo DS || 2004 || $200 || $278 || 154,020,000
|- style="background-color: aliceblue;"
| PlayStation Portable || 2004 || $250 || $348 || 82,000,000
|-
| Xbox 360 || 2005 || $400 || $540 || 84,700,000
|-
| PlayStation 3 || 2006 || $500 || $680 || 87,400,000
|-
| Wii || 2006 || $250 || $326 || 101,630,000
|-
! colspan="5" | Eighth generation
|-
| Wii U || 2012 || $350 || $399 || 13,560,000
|- style="background-color: aliceblue;"
| Nintendo 3DS || 2011 || $250 || $293 || 75,280,000
|- style="background-color: aliceblue;"
| PlayStation Vita || 2012 || $250 || $293 || 15,900,000
|-
| PlayStation 4 || 2013 || $400 || $448 || 117,200,000{{NoteTag|name="inproduction"|Still in production}}
|-
| Xbox One || 2013 || $500 || $560 || 51,000,000 <small>(Estimate)</small>
|-
| Nintendo Switch || 2017 || $300 || $318 || 154,010,000<ref name=":0">{{Cite web |date=2025-11-04 |title=Financial Results Explanatory Material: 2nd Quarter of Fiscal Year Ending March 2026 |url=https://www.nintendo.co.jp/ir/pdf/2025/251104_4e.pdf |url-status=live |archive-url=https://web.archive.org/web/20251104180503/https://www.nintendo.co.jp/ir/pdf/2025/251104_4e.pdf |archive-date=2025-11-04 |access-date=2025-11-04 |publisher=Nintendo Co., Ltd.}}</ref>
|-
! colspan="5" | Current
|-
| PlayStation 5 || 2020 || $400 / $500 || $400 / $500 || 50,000,000{{NoteTag|name="inproduction"}}<ref>{{Cite web |last=McWhertor |first=Michael |date=2023-12-20 |title=PS5 sells 50M units, a big milestone after a turbulent start |url=https://www.polygon.com/24009247/ps5-sales-numbers-2023-sony |access-date=2023-12-20 |website=Polygon |language=en-US}}</ref>
|-
| Xbox Series X/S || 2020 || $300 / $500 || $300 / $500 || 18,000,000 <small>(Estimate)</small>{{NoteTag|name="inproduction"}}{{NoteTag|name="noxboxsales"|Microsoft does not report exact sales for its consoles since the Xbox One, and sales are based industry estimates.<ref name=DataWitheld>{{cite web|url=http://www.geek.com/games/microsoft-decides-not-to-share-xbox-one-sales-figures-anymore-1637833/|title=Microsoft decides not to share Xbox One sales figures anymore|first=Matthew|last=Humphries|work=[[Geek.com]]|publisher=[[Ziff Davis]]|date=October 26, 2015|access-date=December 3, 2016|archive-date=July 20, 2018|archive-url=https://web.archive.org/web/20180720024200/https://www.geek.com/games/microsoft-decides-not-to-share-xbox-one-sales-figures-anymore-1637833/|url-status=dead}}</ref><ref name="guardian sales not focus">{{cite web | url = https://www.theguardian.com/games/2020/nov/11/xbox-phil-spencer-interview-microsoft-series-x | title = Xbox's Phil Spencer: 'We're not driven by how many consoles we sell' | first = Keza | last = MacDonald | date = November 11, 2020 | access-date = November 11, 2020 | work = [[The Guardian]] | archive-date = August 18, 2021 | archive-url = https://web.archive.org/web/20210818074609/https://www.theguardian.com/games/2020/nov/11/xbox-phil-spencer-interview-microsoft-series-x | url-status = live }}</ref>}}
|-
|Nintendo Switch 2
|2025
|$499 / $600
|$499/ $600
|10,360,000<ref name=":0" />
|- 
| colspan="5" | Handheld units are shown in blue.
{{NoteFoot}}
|}
Consoles when originally launched in the 1970s and 1980s were about {{USD|200-300}},<ref name="arstech console price"/> and with the introduction of the ROM cartridge, each game averaged about {{USD|30-40}}.<ref name="arstech prices">{{cite web | url = https://arstechnica.com/gaming/2020/07/the-return-of-the-70-video-game-has-been-a-long-time-coming/ | title = The return of the $70 video game has been a long time coming | first = Kyle | last = Orland | date = July 9, 2020 | access-date = July 14, 2020 | work = [[Ars Technica]] | archive-date = September 8, 2021 | archive-url = https://web.archive.org/web/20210908011228/https://arstechnica.com/gaming/2020/07/the-return-of-the-70-video-game-has-been-a-long-time-coming/ | url-status = live }}</ref> Over time the launch price of base consoles units has generally risen to about {{USD|400-500}},<ref name="arstech console price"/> with the average game costing {{USD|60}}.<ref name="arstech prices"/> Exceptionally, the period of transition from ROM cartridges to optical media in the early 1990s saw several consoles with high price points exceeding {{USD|400}} and going as high as {{USD|700}}. Resultingly, sales of these first optical media consoles were generally poor.<ref name="arstech console price"/>

When adjusted for inflation, the price of consoles has generally followed a downward trend, from {{USD|800-1,000}} from the early generations down to {{USD|500-600}} for current consoles. This is typical for any computer technology, with the improvements in computing performance and capabilities outpacing the additional costs to achieve those gains.<ref name="arstech console price"/> Further, within the United States, the price of consoles has generally remained consistent, being within 0.8% to 1% of the median household income, based on the [[United States Census]] data for the console's launch year.<ref name="arstech console price"/>

Since the Nintendo Entertainment System, console pricing has stabilized on the [[Razor and blades model|razorblade model]], where the consoles are sold at little to no profit for the manufacturer, but they gain revenue from each game sold due to console licensing fees and other value-added services around the console (such as [[Xbox Live]]).<ref name="game over white paper"/><ref name="down many times">{{cite book | last = Ernkvist | first = Mirko  | chapter = Down many times, but still playing the game: Creative destruction and industry crashes in the early video game industry 1971-1986 | year = 2008 | pages = 161–191 | title = History of Insolvancy and Bankruptcy | publisher = Södertörns högskola | editor-first=  Karl | editor-last=Gratzer | editor-first2=Dieter | editor-last2=Stiefel | isbn = 978-91-89315-94-5 }}</ref><ref>{{cite web | url = https://www.theverge.com/2021/5/6/22422691/microsoft-xbox-consoles-profit-software-services-revenue-apple-epic-games-trial | title = Microsoft would like to remind you the Xbox definitely makes money | first = Tom | last = Warren | date = May 6, 2021 | accessdate = May 6, 2021 | work = [[The Verge]] | archive-date = October 19, 2021 | archive-url = https://web.archive.org/web/20211019180522/https://www.theverge.com/2021/5/6/22422691/microsoft-xbox-consoles-profit-software-services-revenue-apple-epic-games-trial | url-status = live }}</ref> Console manufacturers have even been known to take losses on the sale of consoles at the start of a console's launch with expectation to recover with revenue sharing and later price recovery on the console as they switch to less expensive components and manufacturing processes without changing the retail price.<ref>{{cite web | url = https://arstechnica.com/gaming/2006/11/8239/ | title = Sony taking big hit on each PS3 sold; Xbox 360 in the black | first = Eric | last = Bangeman | date = November 26, 2006 | access-date = September 2, 2020 | work = [[Ars Technica]] | archive-date = September 9, 2021 | archive-url = https://web.archive.org/web/20210909052410/https://arstechnica.com/gaming/2006/11/8239/ | url-status = live }}</ref> Consoles have been generally designed to have a five-year [[product lifetime]], though manufacturers have considered their entries in the more recent generations to have longer lifetimes of seven to potentially ten years.<ref>{{cite journal | title = Entering the Economic Models of Game Console Manufacturers | first1 = Nabyla | last1 = Daidj | first2 = Thierry | last2 = Isckia | journal = [[Communications and Strategies]] | volume = 73 | issue = 1st Quarter 2003 | year = 2003 | ssrn = 1427231 }}</ref>

===Competition===
{{See also|Console war|Video game industry|History of video games}}
The competition within the video game console market as subset of the video game industry is an area of interest to economics with its relatively modern history, its rapid growth to rival that of the film industry, and frequent changes compared to other sectors.<ref name="gamble chapter"/><ref name="williams">{{cite journal | title = Structure and Competition in the U.S. Home Video Game Industry | first = Dmitri | last = Williams | journal = The International Journal on Media Management | volume = 4 | issue = 1 | pages = 41–54 | doi = 10.1080/14241270209389979 | year = 2002 | s2cid = 17848916 }}</ref>

Effects of unregulated competition on the market were twice seen early in the industry. The industry had its first crash in 1977 following the release of the Magnavox Odyssey, Atari's home versions of ''Pong'' and [[Coleco Telstar series|the Coleco Telstar]], which led other third-party manufacturers, using inexpensive [[General Instrument]]s processor chips, to make their own home consoles which flooded the market by 1977.<ref name="before crash">{{cite book | title = Before the Crash: Early Video Game History | editor-first = Mark J.P. | editor-last=  Wolf | first = Leonard | last=  Herman | chapter = Ball-and-Paddle Controllers | isbn = 978-0814337226 | year = 2012 | publisher = Wayne State University Press }}</ref>{{rp|81–89}} The [[video game crash of 1983]] was fueled by multiple factors including competition from lower-cost personal computers, but unregulated competition was also a factor, as numerous third-party game developers, attempting to follow on the success of [[Activision]] in developing third-party games for the Atari 2600 and Intellivision, flooded the market with poor quality games, and made it difficult for even quality games to sell.<ref name=prince198309>{{cite magazine |last=Prince |first=Suzan |date=September 1983 |title=Faded Glory: The Decline, Fall and Possible Salvation of Home Video |url=https://archive.org/stream/Video_Games_Volume_1_Number_12_1983-09_Pumpkin_Press_US#page/n17/mode/2up |magazine=Video Games |publisher=Pumpkin Press |access-date=2016-02-24 }}</ref> Nintendo implemented a lockout chip, the [[CIC (Nintendo)|Checking Integrated Circuit]], on releasing the Nintendo Entertainment System in Western territories, as a means to control which games were published for the console. As part of their licensing agreements, Nintendo further prevented developers from releasing the same game on a different console for a period of two years. This served as one of the first means of securing [[platform exclusivity|console exclusivity]] for games that existed beyond technical limitation of console development.<ref>{{cite web | url = https://arstechnica.com/gaming/2013/07/time-to-feel-old-inside-the-nes-on-its-30th-birthday/ | title = The NES turns 30: How it began, worked, and saved an industry | first = Andrew | last = Cunningham | date = July 15, 2013 | access-date = August 3, 2020 | work = [[Ars Technica]] | archive-date = July 22, 2021 | archive-url = https://web.archive.org/web/20210722154751/https://arstechnica.com/gaming/2013/07/time-to-feel-old-inside-the-nes-on-its-30th-birthday/ | url-status = live }}</ref>

The Nintendo Entertainment System also brought the concept of a [[List of video game mascots|video game mascot]] as the representation of a console system as a means to sell and promote the unit, and for the NES was [[Mario]]. The use of mascots in businesses had been a tradition in Japan, and this had already proven successful in arcade games like ''[[Pac-Man]]''. Mario was used to serve as an identity for the NES as a humor-filled, playful console.<ref name="geemu">{{cite journal|first=Martin|last=Picard|title=The Foundation of Geemu: A Brief History of Early Japanese video games|journal=International Journal of Computer Game Research|date=December 2013|volume=13|issue=2|url=http://gamestudies.org/1302/articles/picard|access-date=November 19, 2016|archive-url=https://web.archive.org/web/20150624050100/http://gamestudies.org/1302/articles/picard | archive-date=June 24, 2015|url-status=live }}</ref><ref name="kline nintendo">{{cite book | title = Digital play: the interaction of technology, culture, and marketing | first1=  Stephen |last1 =Kline | first2= Nick |last2= Dyer-Witheford | first3= Greig  |last3 = de Peuter | isbn = 077357106X | publisher = McGill Queen University Press | year = 2003 | chapter = Electronic Frontiers: Branding the “Nintendo Generation” 1985–1990 | pages = 109–127 }}</ref> Mario caught on quickly when the NES released in the West, and when the next generation of consoles arrived, other manufacturers pushed their own mascots to the forefront of their marketing, most notably [[Sega]] with the use of [[Sonic the Hedgehog (character)|Sonic the Hedgehog]].<ref name="kline console wars">{{cite book | title = Digital play: the interaction of technology, culture, and marketing | first1=  Stephen |last1 =Kline | first2= Nick |last2= Dyer-Witheford | first3= Greig  |last3 = de Peuter | isbn = 077357106X | publisher = McGill Queen University Press | year = 2003 | chapter = Mortal Kombats: Console Wars and Computer Revolutions 1990–1995| pages = 128–150 }}</ref> The Nintendo and Sega rivalry that involved their mascot's flagship games served as part of the fourth console generation's "console wars". Since then, manufacturers have typically positioned their mascot and other first-party games as key titles in console bundles used to drive sales of consoles at launch or at key sales periods such as near Christmas.<ref name="geemu"/>

Another type of competitive edge used by console manufacturers around the same time was the notion of "bits" or the size of the [[word (computer architecture)|word]] used by the main CPU. The TurboGrafx-16 was the first console to push on its bit-size, advertising itself as a "16-bit" console, though this only referred to part of its architecture while its CPU was still an 8-bit unit. Despite this, manufacturers found consumers became fixated on the notion of bits as a console selling point, and over the fourth, fifth and sixth generation, these "bit wars" played heavily into console advertising.<ref name="Therrien"/> The use of bits waned as CPU architectures no longer needed to increase their word size and instead had other means to improve performance such as through multicore CPUs.<ref name="Therrien"/>

[[File:Sega Dreamcast arcade machine.jpg|thumb|upright|Retail demo kiosk for a [[Dreamcast]], the last console from Sega, at the [[Finnish Museum of Games]] in [[Tampere]], [[Finland]] in 2017]]
Generally, increased console numbers gives rise to more consumer options and better competition, but the exclusivity of titles made the choice of console for consumers an "all-or-nothing" decision for most.<ref name="williams"/> Further, with the number of available consoles growing with the fifth and sixth generations, game developers became pressured to which systems to focus on, and ultimately narrowed their target choice of platforms to those that were the best-selling. This cased a contraction in the market, with major players like Sega leaving the hardware business after the Dreamcast but continuing in the software area.<ref name="gamble chapter"/> Effectively, each console generation was shown to have two or three dominant players.<ref name="williams"/>

Competition in the console market in the 2010s and 2020s is considered an [[oligopoly]] between three main manufacturers: Nintendo, Sony, and Microsoft. The three use a combination of first-party games exclusive to their console and negotiate exclusive agreements with third-party developers to have their games be exclusive for at least an initial period of time to drive consumers to their console. They also worked with CPU and GPU manufacturers to tune and customize hardware for computers to make it more amenable and effective for video games, leading to lower-cost hardware needed for video game consoles. Finally, console manufacturers also work with retailers to help with promotion of consoles, games, and accessories. While there is little difference in pricing on the console hardware from the [[manufacturer's suggested retail price]] for the retailer to profit from, these details with the manufacturers can secure better profits on sales of game and accessory bundles for premier product placement.<ref name="gamble chapter"/> These all form [[network effect]]s, with each manufacturer seeking to maximize the size of their network of partners to increase their overall position in the competition.<ref name="williams"/>

Of the three, Microsoft and Sony, both with their own hardware manufacturing capabilities, remain at a leading edge approach, attempting to gain a [[first-mover advantage]] over the other with adaption of new console technology.<ref name="gamble chapter"/> Nintendo is more reliant on its suppliers and thus instead of trying to compete feature for feature with Microsoft and Sony, had instead taken a [[Blue Ocean Strategy|"blue ocean" strategy]] since the [[Nintendo DS]] and [[Wii]].<ref>{{Cite web | url = https://www.fastcompany.com/3067343/innovation-agents/nintendo-switch | title = With Nintendo's Switch Game Console, New Ideas Create New Experiences | first = Kevin | last = Ohannessian | date = January 20, 2017 | access-date = January 20, 2017 | website = [[Fast Company (magazine)|Fast Company]] | url-status=live | archive-url = https://web.archive.org/web/20170120150351/https://www.fastcompany.com/3067343/innovation-agents/nintendo-switch | archive-date = January 20, 2017 | df = mdy-all }}</ref>

==See also==
* [[Game consoles sales]]
* [[Unlockable game]]
* [[Video game clone]]
* [[Fantasy video game console]]

==References==
{{Reflist|30em}}

==Further reading==
* {{cite book | last=Forster | first=Winnie | title=The Encyclopedia of Game Machines – Consoles, handheld & home computers 1972–2005 | publisher=Gameplan | year=2005 | isbn=3-00-015359-4 | url=http://www.gameplan.de/gameplan_01.5_UK/index.php | archive-url=https://web.archive.org/web/20070307160112/http://www.gameplan.de/gameplan_01.5_UK/index.php | archive-date=March 7, 2007 | url-status=dead }}

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