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Harvey Birdman said:
The problem with the PS3 right now is price and the lack of high selling IP's (like MGS4, GT5, FF,GoW3,) From the 360, we have already seen Halo 3, Forza 2, PGR4, and Gears of War. You will see proven IP 's from sony against new IP's from microsoft (Alan Wake, Halo Wars, Too Human). Face it, The 360 will never move consoles like they did this year again. Sony may not catch the 360 in the US, but the 360 has done the most damage it could do.

I agree, price is a huge issue being that 75% of PS2 owners spend less than $200 of the PS2 and it is (fairly) reasonable to assume that these gamers will not spend (much) more than $200 (maybe $250) in this generation. When will the PS3 be a $200 or less videogame system? 2009? 2010?

As will be obvious after Christmas, Sony has (essentially) limited their sales for the first several years and as a result their will be consequences in 2008. Much like Devil May Cry and Grand Theft Auto, more and more of the big named (assumed PS3 exclusive) games will become multiplatform and appear on the XBox 360 and PC; and much like Dragon Quest, many (assumed PS3 exclusive) games will end up being developed for the graphically inferior Wii even though everyone assumed the developer only cared about graphics.

At this time in 2005 people were talking about how the PSP could comeback, and how the PSP's line-up in 2006 was going to (finally) lead to the PSP dominating the Nintendo DS; much like then, the market has choosen its consoles and it is only a matter of time before it becomes obvious to everyone.