Could you elaborate more on that if you have the time?
Sorry for the late reply, weekend hasn't exactly allowed me to sit down and think. I also didn't take much time in reading the rest of the thread, as most replies seem to be based on the posters cherry-picking a point in history where consoles magically disappear, and thereby allowing them to come up with any justification they need to prove their point.
So I'm gonna do exactly like they did, except I'm gonna cut straight to the source, to Ralph Baer's Magnavox Odyssey in 1972. This is the first computer that is clearly relased with a few key points in mind:
# Easy to setup up and use compared to computers (of 1972).
# Cheap price.
# Easily available (can you find it at your local store?)
# Entertainment is primary purpose (no "workhorse" functionality).
# Was aimed at the public.
These are the things that make a console compared to a computer.
The Odyssey single-handedly started the video game industry and started what is called the "first generation of video game consoles". One of the games available, a top-down perspective ping-pong game, became the basis for Atari's
Pong game, which created a whole slew of Pong-consoles and gave Atari the financial backbone to make the Atari 2600. The entire video game industry as we know it, is based on this foundation.
Meaning that if the Magnavox Odyssey is erased from history, video game history changes drastically as we've just removed the foundation.
We can't even begin to imagine how history would have progressed with such a drastic change, so I'm going to permit myself to assume, to keep this somewhat short, to say that history would have continued as normal in all other regards. We could probably cook up all kinds of cool stories about how eventually someone else would have done exactly as Baer did and released a scaled-down computer aimed soley at recreational purposes,
and at any point since 1972. Again, I'm not going to do so except to mention it, this will always be a factor.
So we're left with a world where the foundation of the video game industry is not what we know it. So what's the next step above? That would be the Atari 2600 and the Apple I, both released roughly round the same time and both featuring microprocessors, a breakthrough development for computers in general. Except in a non-Odyssey world Atari would not have the money nor reason to make a home console, so there is no Atari to speak about. But both microprocessor and Apple are still around and they're still working on their little machine. I'd say the lack of the Odyssey would have little impact on the release of the Apple I, but it may have an impact upon the Apple II as the target audience is invariably smaller. Because how many people got introduced to computers via consoles like the Magnavox and Pong deririatives, and wanted something bigger and better and got into home computers as a result? With no consoles this group doesn't exist, leaving only those whom got onboard with computers from the start. So any launch at this point in time will have a smaller reception, meaning smaller market and less imperative to speed-rush a follow-up model, especially since there's no real competition. So let's assume that the Apple II did eventually get released, but not until 1980. And let's assume that the Apple II was received as favorably as it did, only on a smaller scale due to the aforementioned reasons.
So now we're in 1980, we have one (somewhat) successful home computer, and the competition is starting to pick up. So machines like the TRS-80, the IBM PC and such are all on the horizon, but nowhere near release. Let's say they get released in late 1982. So hardware is already being released at a slower rate than we know, but what about the games? Well, barring any possible game releases on the Apple I, 1980 is where the video game industry starts, 8 years later than it did. So the game industry had to play catch-up right from the start. The only favorable situation for the gaming industry here is that they have more powerful computers and no dedicated (and simplified) controller to speak of, therefore there are no deliberate bottlenecks to speak of for game development. Adventure games, RPGs and rogue-likes are already established genres thanks to University mainframes, but there will be a dearth of action games for a long time, especially since one other field of gaming will also be slow on the uptake (if it appears at all), and that is the arcade coin-op. Atari's version of
Pong was an arcade title first and foremost, and without that vital first step arcades are in a bit of a jam.
So based on this, and looking forward, we see quite an interesting landscape developing in relation to video game development: At least two-thirds of the gaming market is absent and history is at least 8 years behind the times.
Any further development from this point will take place at a much slower pace than it really did. And this is where I stop just talking about game development. With computers taking a longer time to grow and manifest, society would have a better time adapting to them. Every generation of computer development would have lasted longer, meaning every change upon society that each generation inflicted would have taken more time to come about. The 8-bit era would probably have lasted well into the 90s, dial-up modems would probably still have been a thing as short as 10 years ago, and the Internet would be still in its early days in the Current Year. And society would be better for it, because we would be more familiar with each iteration. Because one of the biggest problems with modern-day society is the breakneck-speed that we're going on.
Have any of you heard about "The Generation Gap"? It's a concept that describes the age gap needed between two people before they are incapable of understanding the lifestyle of one another. When this concept was first termed the Generation Gap was 35-40 years. This was best shown in the culture clash between the generation that fought in WWII and the peace-loving hippies of the late 1960s. Here's a chilling fact to consider: Since then the Generation Gap has shrunk. With every passing year since then it has gotten smaller. The last time I heard how the Generation Gap was doing was in 2013. Do you know how wide it was then?
Seven years. Let that sink in for a minute.
If 2006-you would get a chance to talk to 2013-you, you'd have a hard time understanding the changes that have taken place. Likewise 2013-you would have a hard time understanding how you could ever have lived like this...except you remember it quite well, don't you?
It was only seven years ago! Anyone care to guess how wide the Generation Gap is now, in 2017? Six years? Less? Don't you think this is ridiculous?!?
And this increased speed of human society is all due to computers. Without them we'd be living in a much simpler time. Much slower as well yes, but also much simpler. Possibly much better too.
But with all this in light, I stand by my vote of "No, I don't think the gaming industry would be better off if consoles never existed." Even though I'm not a consoletard and have, in fact, been a stern believer in the Glorious PC Master Race for 20 years now. But I believe
society would be better off is consoles never existed.