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Great post johnlucas; there are 2 main thoughts that I took away:

1. That is a very interesting observation about Sony's internal decisionmaking.  They must know that bailing out on the PS3 prematurely would be counterproductive, but maybe the PS3 will be the last PlayStation no matter how successful it is?  

2. A pyrrhic victory is one that destroys the winner as much as the loser.  I would say that the PlayStation and PS2 victories were not pyrrhic, despite the relatively low profit, because they were in fact profitable and greatly so. 

The Xbox's "successful" entry into the video game market was definitely pyrrhic, and if the PS3 beats out the 360 but never gets a cumulative profit then that will be pyrrhic as well.  (For the PS3 example, a small profit will also be pyrrhic IMO because the billions of dollars spent in the loss-leader strategy will have had such a small eventual payoff that it was completely not worth it.)



Tag (courtesy of fkusumot): "Please feel free -- nay, I encourage you -- to offer rebuttal."
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My advice to fanboys: Brag about stuff that's true, not about stuff that's false. Predict stuff that's likely, not stuff that's unlikely. You will be happier, and we will be happier.

"Everyone is entitled to his own opinion, but not his own facts." - Sen. Pat Moynihan
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The old smileys: ; - ) : - ) : - ( : - P : - D : - # ( c ) ( k ) ( y ) If anyone knows the shortcut for , let me know!
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I have the most epic death scene ever in VGChartz Mafia.  Thanks WordsofWisdom!