iPhone unlikely to ever compete effectively with DS, says analyst

A recent New York Post story claiming that Apple and Nintendo are headed for a "showdown" in the portable gaming market has been rubbished by a leading analyst.

According to the story, Apple has been secretly plotting its foray into portable video games for months, looking to add games to its iPhone. Rumour has it that the company has already provided a major game developer with iPhone technology, and that Apple is expected to make a gaming announcement in the near future.

However, Wedbush Morgan Securities analyst Michael Pachter told GamesIndustry.biz that he doesn't think Apple is serious about gaming. "Rather, I think that they're trying to establish the iPhone as an all-encompassing entertainment device," he said.

"The markets are different. The iPhone is an expensive toy for the wealthy and self-indulgent, while the DS is an inexpensive toy for everyone," Pachter replied.

"I think that Apple will succeed in making mobile phone games a bit more accessible and fun, but cannot conceive of their gaining significant share of the handheld market. The iPhone is unlikely to ever compete effectively, as it is unlikely to attract the level of third-party developer support afforded the DS."