Scenario 1: Two Console War Continues (1/2)
Prior to the early 90s there was only room for one game console in the market.
The Atari 2600 reigned supreme with the Intellivision and Colecovision lingering in the background.
Later the NES came around and captured over 90% of the total game market with the Sega Master System and Atari 7800 gasping for breath.
The NES was so wildly successful it brought video games into nearly every home in the country.
Sounds like that would be great for Nintendo but there was an unintended consequence.
Video games were now so mainstream that multiple consoles could survive, Nintendo would never again achieve the market share they enjoyed in the 80s.
The 16-bit war proved this, the Sega Genesis and Super Nintendo each managed a healthy run with other competitors playing second fiddle.
By the 2000's there would be room for three consoles.