Piracy costs handheld gaming over $6.9 billion a year

The Japanese Computer Entertainment Suppliers Association (CESA) believes piracy targeting the mobile gaming console industry has cost game studios and hardware manufacturers more than $41 billion over the past six years.

The study didn't take peer-to-peer piracy into consideration, and instead focused on studying the downloading habits from piracy websites that host illegal game copies.

Specifically, the Sony PlayStation Portable (PSP) and Nintendo DS handheld gaming units have suffered a significant amount of damage due to piracy.  The number was estimated by researchers who viewed the top 20 video game title releases over a six-year span from 2004 to 2009.

The top 114 websites with pirated content were observed, and the price of games and sales ratios were taken into consideration for the Japanese market. Researchers then multiplied the number by four to account for Japan's estimated 25 percent game market control.

The report also unveiled that the country hosting the most pirated content was the USA, followed by China in second.

Copyright groups have supported reports in the past that yielded numbers thought to be grossly inflated, though the CESA believes the number would have been even higher if it included P2P estimates.

We covered a story in December 2008 that indicated Sony PSP piracy has increased, even though Sony has tried to crack down on unauthorized games.  Since then, the problem hasn't gotten any better, according to Sony, Nintendo and copyright groups. 

The PSP's SOCOM: U.S. Navy SEALs Fireteam Bravo 3 video game requires an online gaming voucher if owners want to be able to play the title online, which also punishes second hand purchasers of the (used) game as the voucher costs $20.

Both Nintendo and Sony are trying to crackdown on handheld piracy, but have had very little effect in doing so.  Last month, Nintendo filed a civil lawsuit against NXPGame, the online gaming resource that was found selling pirated game copiers to DS owners.

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