Even I think that adding blu-ray has been generally negative for the PS3. Of course, the potential market for Blu is hyuuuggggeeeeeee, so it probably made some sense to sacrifice Sony's games division and its profitability in order to guarantee that Blu would be the standard HD format.
As far as MS, I think that they probably made the correct decision to stick w/ HD-DVD. If they went blu, well, they'd have to put blu ray drive in a year before the PS3 when its manufacturing cost would have been a lot higher than what it would have been a year later when the PS3 came out.
No, MS did the right thing for this generation. For the next generation, though, it seems around here as a general consensus that MS would be well served to put a BD drive in its next console, b/c BD will be a bigger thing by then.
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