Video game investors and enthusiasts alike will be intrigued by this little product development tidbit: According to the Associated Press, a new device from Digital Act Co. -- dubbed the "Campho Advance" -- allows users of Nintendo's Game Boy Advance to plug into a phone jack and use the handheld game machine as a video phone. The unit is scheduled for Japanese release this December. No ISP is needed, and a broadband device is under development.
There are no immediate plans to sell the Campho Advance outside Japan, but Nintendo will surely be watching its penetration closely. It's worth noting that Japan has purchased 10 million of the 34 million Game Boy Advances sold worldwide so far; if the market accepts the Campho, you can bet it will lead to broader distribution for such devices. Indeed, AP reports that Digital Act Co. already has a broadband device under development.
Having ushered in the "modern era" of gaming by introducing the original Game Boy in 1989, Nintendo holds a strong lead in the handheld games market, and has repelled scads of competitors over the last decade. Now it appears would-be Game Boy beaters are going to have to do more than design a simple game machine -- video talk, paging, multiplayer capacity, and MP3 playing are all part of the package as the handheld industry continues to converge.
Among the Nintendo challengers to watch:
Mobile phone-maker Nokia (NYSE: NOK ) plans to have its N-Gage player in stores in just under a month. The slick-looking device will play games, surf the Web, play MP3s and operate as a phone.
Educational toy company Leapfrog (NYSE: LF ) is targeting the children's market with its Leapster device, planned for release for this holiday season. Word is, it could become the next great back-seat babysitter.
A California startup called Tapwave will soon accept preorders for a new multi-function device. Because it's run by former Palm (Nasdaq: PALM ) employees, there's been some buzz around this company.
And what about console market leader Sony (NYSE: SNE ) ? Though the company's PlayStation Portable isn't slated to debut until the end of 2004 -- and, therefore, details about it are scant -- some observers say the device may blow away its competitors. Sony execs are calling it "the Walkman of the 21st Century" -- at least hinting at music and perhaps other applications.
Meanwhile, there is some question as to whether Microsoft (Nasdaq: MSFT ) , maker of the Xbox, is really going to commit to gaming. Microsoft's Media2Go device looks like a multimedia monster, but it's clearly not a game machine. And with the software giant still fighting hand-to-fist with Sony and Nintendo in the console market, it may be leery of further forays into gaming at this time.
Dave Marino-Nachison can be reached via email at
DMarnach@Fool.com
.
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