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To answer your OP by the way Smashchu2, I can highlight some areas you overlooked in your analysis. One of the key areas people mistake when looking at the PS3 sales is the fact it's price point was lowered way too early in the products lifecycle. When Sony managed to misunderstand the market bad enough to release a console that was too expensive they hastily reduced the price to maintain the products viability. This has meant that when originally Sony projected their profits for the PS3 they would not have planned on reducing the price so soon. When compared to Microsoft who made it into their 3rd year without a big drop it highlights why Sony are suffering now.

Sony are currently accepting the lull in demand until they can stretch out the current price point to a window which would have been more in line with when they were expecting a big drop. There is no doubt once the PS3 hits sub $299 the sales will accelerate again although perhaps some people overestimate just how much on here.

The final key in the longevity of the PS3 is the 360. While both HD consoles are around third parties will be happy to produce games for them as they sell plenty of software and they understand the demographics they're developing for. Unless the Wii can break thr 50% market share the Hd consoles have they'll never get wholesale third party support at their expense.

The PS3 is here to stay for a while longer and assuming by saying not for long you expect it to fail within the next 2 years I think you're a mile off in your prediction.