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Squilliam said:

2. Keeping games on their platform is also expensive. To make 360 more appealing than Wii, M$ needs to moneyhat the publishers and the bigger the Wii software sales grow, the more M$ needs to pay for them. The best way to ensure 3rd party support, if you're not the leading one, is to get your next gen console out before the competition. 360 gained alot for having a year advance, just like Sega with Megadrive back in the day.
Unless M$ does something, 360 will end up to a situation where 3rd parties don't care about their relations with M$ (think about Nintendo last gen).

3. M$ isn't going to make the money they have lost in consoles back this gen.
What really worries investors is, that is M$ going to go forward. If you're not planning to keep up with the future, the investors know that the whole business venture is a dead duck in the water.

2. Microsoft doesn't need any special sauce to keep games on their system. They already proved they can sell 3 heavy shooter releases in a holiday season quarter and give each and every one their dues. They proved they can support 2 WRPGs released back to back on their system along with many other heavy sellers. Third parties know they get a good deal with the Xbox 360, so why wouldn't they continue to support their system when Microsoft goes out of their way to support the third parties? They have no real conflict of interest between 1st and 3rd party studios so they are in a unique position and long term im sure the Publishers apreciate that fact.

3. They are making money back fast enough to justify to themselves that the ROI is better than leaving it in the bank. Thats the whole Xbox venture, not just the Xbox 360. Also now they have established themselves finally, who knows for sure what direction they intend to take the Xbox in the next generation?

Thanx for taking the time to provide your rebuttal, I really did not wan to put in the effort to point out the flaws in logic.



I'm not a fanboy, I just try to tip the balance in favor of logic and common sense.