Microsoft's rumoured Xbox 720 will make the company the undisputed king of gaming console, with competitions like Sony's PlayStation and Nintendo's Wii U likely withering away in the few years to come, one analyst said.

But it will be a lonely reign for the tech giant as Wedbush Securities analyst Michael Pachter is firmly convinced that if indeed Microsoft is mulling an Xbox 720 release, it represents the last of its kind.

The tech subcategory will soon fade away, eventually succumbing to the mobile device juggernaut that seem to annihilate many more industry segments, Mr Pachter said on his Twitter account.

His thoughts were recently presented at the South by Southwest gathering, in which he also outlined the strengths and weaknesses of Xbox's rivals.

Nintendo's Wii U is generally a letdown, Mr Pachter said, and what were rolled out so far with the Wii refresh was uninspiring and "not innovative enough to drive huge interest."

However, if the Japanese gaming firm is able to prod developers to produce new and compelling game titles, such move "will reinvigorate growth."

On the other hand, Sony appears on track to push out a PlayStation 4 that is impressive as the Wedbush analyst pointed to the console's 'phenomenal graphics and generous RAM provisions' that should create rooms for future innovations.

Sony must work harder in giving more power to its PS4 CPU if the company wishes to at least maintain its current position. And to generate more interests from consumers, the firm should be more transparent in letting the world know what can be expected from its upcoming console, Mr Pachter said.

But it Microsoft, most likely, will be the last man standing in the fierce gaming console shootout and Mr Pachter pointed to the following exciting features as the key to Xbox 720's more lasting success:

- A built-in TV tuner that further expands the Xbox's entertainment value.

- Smooth integration with Kinect 2, meaning the motion-sensitive Xbox controller will be packed automatically with every unit.

- Introduction of Skype, transforming the Microsoft console as another platform for social media activities.

- And a price tag that could start to a low of $US99 for the console to become more accessible and compete with free games that hooked many on their smartphones and tablets.