Sony stakes deep gaming lead, but Microsoft isn't ready to give it up

A Microsoft executive once said the first console to move 10 million units would win the console generation, though that proclaimation was made when the Xbox 360 was king and before Sony claimed sales of its PlayStation 4 hit the "generation defining" mark.

The PlayStation 4 won the month of July for top sales in the U.S., marking the seventh consecutive month Sony's latest console has outpaced Microsoft's Xbox One in sales, according to reports from market research firm NPD Group. No hard sales figures are available, however.

While Sony's latest console has held a solid lead over the Xbox One, Microsoft's new-gen console has still been enjoying a market that has been quickening its pace in the adoption of new hardware.

Year over year purchases of gaming hardware in July, approximately $198.8 million on consoles, increased by 100 percent in comparison to the same period in 2013, according to NPD Group's latest report on the industry. The movement of hardware has been offsetting software sales, a trend NPD analyst Liam Callahan said was evidenced in seven of the last nine months.

"July is typically a quiet month for software sales, representing about 5 percent of annual sales," said Callahan. "Typically, NCAA Football launches in July and often ranks as the top game. As that title is no longer being produced, new launch sales declined steeply by close to 70 percent in July 2014."

At $178.2 million, software sales for the U.S. in July were down by roughly 15 percent when compared with the same time in 2013.

The top five games in the U.S. during July 2014 were The Last of Us (PS4, PS3); Minecraft (360, PS3); FIFA 14 (360,PS4, Xbox One, PS3, Vita); Watch Dogs (PS4, 360, PS3, Xbox One, PC); and Mario Kart 8 (Wii U).

While exact figures on Xbox One and PlayStations for sale haven't been available, NPD Group confirmed that Sony's console was leading the race. And at Gamescom 2014, Sony announced that it beat Microsoft to the mark of 10 million sold for the latest console generation.

Don Mattrick, previous president of Microsoft's Interactive Entertainment Business, has moved on to work at Zynga, but a boast he made in 2008 is likely still echoing through the hauls of Microsoft's Xbox division.

"This year will be the largest in the history of the video game industry, with Xbox 360 leading the charge in the U.S. and abroad," said Mattrick back in 2008. "History has shown us that the first company to reach 10 million in console sales wins the generation battle. We are uniquely positioned to set a new benchmark for the industry."

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