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This has to be scary as hell for some of the people at Sony.

Honestly, at this point, even the people who loathe the company should probably be rooting for the Vita to do halfway decent. A weakened Sony reduces competition (particularly damning in such a highly competitive arena right now), could cost jobs and even force them to cut off quality or even divisions within their sphere. Their main sales have been Europe for ages and now they're taking the punches of a serious downturn, so they don't really have anywhere else to go to really kick up the profits. It's something of an unsettling situation from an economic standpoint. Kaz is going to have his work cut out for him.

I do admit, they have been making some rather odd choices lately that might not help them very much (UMD thing, some people getting turned off by the single PSN/SEN account stuff, seemingly mixed interest in the launch titles, etc), though I think the most problematic is that for a device they are looking at as a saving grace, they have been surprisingly lax on the advertising. I'm Canadian with access to many US channels (biggest NA market, obviously), but I have yet to see even a single television commercial for the Vita or even for a Vita game on them. It is an intensely strange thing, considering that the PS3 didn't leave an hour of TV alone before you saw something on it during it's advertising slam. Yet it comes out in a week? I didn't even KNOW that, I thought it was early March. I'm rather confused as to what their marketing people are actually doing as of late...

Either way, I think what it boils down to for me is a hope that they can turn it around and make this thing successful. Sony taking a thump in the race and falling back probably won't help anyone, gamers or consumers alike.