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Most of the time Sony has an advantage, but if you think about it carefully, then you'll see that Sony does not have the advantage this time.  Here is how it breaks down:

1) If all of the big 3 do a traditional strategy (playing it safe) then Sony wins.  This is what happened in Generation 6 and Sony had it's best performance yet.
2) If Nintendo or Microsoft try something different, but it's a bad idea, then Sony wins.  That is what has been happening in Generation 8 with the XB1 and Wii U screwing up.
3) If Nintendo does something different and it's a good idea, then Nintendo wins.  This is what happened with the Wii in Generation 7.
4) If Sony competes against Nintendo's handhelds, then Nintendo always wins.  Nintendo is undefeated in the handheld market.  They have defeated countless competitors including everything Sony has thrown out there.


This time the PS5 is competing against the Switch.  We already know that we are in situations 3 and 4.  Nintendo is trying something different and it's successful.  Also the Switch is a handheld.  But this handheld is special, because it is also a home console.  It already will get the entire handheld market, but it will also get some of the home market too.  That is the problem with Sony playing it safe.  If they do so, then Switch is just going to take all of their customers away. 

Everyone is acting like the PS5 is competing against the Wii U again.  Nope.  Switch is a much tougher competitor than the Wii U.  Switch is a high powered handheld that can also act as a home console.  Sony needs to worry that they won't get a repeat of the PSP vs DS.  The PSP was a very solid system with a lot of great games and it still lost to the weaker DS.  The same situation can very easily happen with the PS5 and Switch.