OYSTER BAY, NY -- Unit shipments of gaming devices are falling but the longterm outlook is flat, say the latest forecasts.

Sony and Nintendo are expected to ship over 38 million handheld gaming devices in 2013, down 19% from the peak in 2008, says market research firm ABI Research.

In 2014 and beyond, shipments are expected to decline slightly, but dedicated handheld gaming devices are a sustainable niche, with forecasts relatively flat through 2017, ABI said.

The firm says smartphone and tablet use for gaming continues to expand, making the mobile gaming market an increasingly important companion to dedicated handheld gaming.

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