@Zen I completley disagree I don't think Sony ommited to act as they saw their most significant I.P's slip threw their hands , it's my belief that there was Simply nothing they could do . What 3rd party developer would stay loyal purely on the potential userbase of a single console ? What 3rd Party developer would stay loyal purely because of a consoles performance last gen ?.
You say they let these major I.P's slip how exactly would they have been able to secure GTA , FF , DMC or any other exclusive they lost for that matter , enter a bidding war with MS ? Not possible , Buy every 3rd party developer with killer exclusives ? highly improbable .
Sony didn't anticipate the threat the 360 would pose but around the time of the PS3's , they had been destroying the games market for about 11 years with the PS1&PS2 so there was likely a real mentality of success about them I wouldn't call it arrogance , they were in a position of victory and they aimed to use their "continued success" to make even more profit for Sony (Blu-Ray).
anyone talking about pouring reserved profits into securing exclusives already affiliated with the Sony brand via contractual agreements would have likely been fired on the spot , why waste money on 3rd parties who were literaly at their feet ?.
You could call it bad leadership or complacency i'd like to think of allowing their sucess hinder their ability to anticipate change in the market.
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