If I was: Kutriagi: I would of reduced the number of SPEs the Cell had for the PS3 to around 4, killed the RSE, and cut a few other corners. I would of included HDMI/mem cards standard, and tried to just release 1 price point at $400 or $350 USD (which woulda forced MS into a price war). I would of kept the Blu-Ray on it, despite the cost. The Blu-Ray only costs around $125 - not a massive increase for what it gives (whereas the Cell MOBO is $300+). Also, I would of launched the PS3 globally around Feb/March 2007 instead, therefore having more and better games at launch. Gates: Keep the 360 as it was design-wise. Its a fantastic system. However, I'd up the game size limit, and start focusing more on getting BC as a better system. I'd streamline the hard drives to be a standard USB format like the Sony system(s), and allow for much larger HDs. Because of this, I would get old(er) Xbox games on XBLM for 1200-1800 points for the big sellers like Ghost Recon, Forza, Halo 1/2 and alot of other great games, and allow any/every dev port their old PS1,PS2 and Xbox games onto XBLM and make it truely massive download support. By now, I would institute a $75 price drop for both core/prem, and institute another $50 price drop by September before Halo/GTAIV come out. Miyamoto: I would quickly be researching components for a new Wii2 to launch around 2010. I would focus RIGHT NOW on getting AS MANY factories as I could to produce more Wiis and DSes, as well as the ability to manufacture more DS cartridges. I would funnel more money into 1st party development, and try to get more 3rd party and indie devs to think about the VC as a format to make games on. Also, I'd take Wii Sports out of the free Wii US package, sell it for $40, and drop the price to $200USD in a few months. Other than that, roll in the cash.
Back from the dead, I'm afraid.