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Psygnosis NL said:
Whether Microsoft has a monopoly or not in the OS business doesn't matter for the console business. In the console business Microsoft is the main party that makes its consoles cheaper so that more people can enjoy gaming. Hence, although Microsoft may have a monopoly in the OS market, this is not a reason not to buy Microsoft consoles or games until Microsoft becomes too big in this market (which is clearly not the case looking at Nintendo's success and the not-so-big gap between the 360 and PS3). Off course Microsoft may have "deep pockets" because of its "Monopoly" and therefore one might argue not to buy Microsoft stuff because it can temporary sell things cheaper than competitors without those deep pockets, Microsoft's investors still demand a positive return when entering a new business and thus MS can't just keep selling below cost price.

they dropped the price due low demand it was being outsold in worldwide it needed 2 price cuts in the same year to out sell ps3 in europe.

the moment microsoft gets into a market position that only games come to it platform that likely be cheap, we are screwed.

lets hope nintendo and sony stay around.