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Words Of Wisdom said:
I think the question you mean to ask is "Would the 360 be less harmed were customers to spend money on the PS3 instead of the Wii?"

Asking if you benefit by your potential customers spending their money on a competitor's products instead of potentially on your products seems silly.

While technically I agree that it doesn't really make sense on paper... I don't think its a silly way of thinking. I mean, PS3 will not get much exclusive development from 3rd parties unless sony pays for it. MS also won't get much unless they can pull away from Sony by 10-15 million consoles. So multiplat development seems like the only way to make sure smaller companies develop for the respected systems and not go bankrupt.

MS's presence in Japan is still pathetic and that wont change this gen...but if PS3 gets it together in that region and starts selling as much as the Wii, it may have a beneficial impact on future titles developed for Japan. etc...