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BornFirst. said:

If Microsoft and Sony and the whole industry actually listened they would have known a storm was brewing a long time ago, and done something bout it. Obviousy this is all my opinion, just my 2 cent.

 

 

I think Microsoft knew what they were doing but they had little choice. The Xbox360 was clearly targeted as a low cost PC. They had their best chances in this environment and they had to counter Sonys PS-3, while they also had to be faster. The early release of the Xbox360 was very risky, but now they are in the right place. The console can be produced cheap enough to earn money and still be competitive. Furthermore the next Xbox can be designed based on the current version, they won't need any bigger modifications, insatead they can simply use Moores Law to be faster and cheap and be compatible to the current plattform. They will not be the winner of this generation but they will probably earn more money than they had to invest for the Xbox360 ahnd can start to think how they might react to the Wii 2.

Sony simply had the problem that Katuragi made the system too expensive "Eight is a beautiful number" as the reason for  a design change of the Cell from six to eight SPUs and then the disaster of the companion chip... I thiunk this was the time when Sony knew that they were in trouble. They demonstrated a nhearly perfect crisis management but the current financial crisis is pretty bad.

And before someone tries to describe my opinion as that of a Xbox360 fanboy: I own a PS-3 and no Xbox360.