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I think 2008 will see MS and Sony turn very nasty toward each other as they realize that they're slowing grinding themselves into a stalemate. I expect both companies to aggressively slash prices in a race for 65nm GPUs and 45nm CPUs into 2009. Sony has the software advantage in 2008 while MS has the advantage of profitable hardware.

Meanwhile, Nintendo will be sitting in a corner, laughing their asses off as they continue to roll in money for the forseeable future.




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