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superchunk said:

ummm, Microsoft tried a straight off the shelf system and I'm pretty sure it cost them billions in losses. I don't think SEGA could afford that.

This is clearly a bunch of BS.

Its actually the best way to go for a smaller company.

I mean, howmany billions has Sony lost making that Cell chip? They had to price the console at 599 at launch to boot and still take a huge loss. For 599 they could have easily built and  equal or greater power console in 2006.

The only way a smaller company can make a console/portable device is to use off the shelf parts, Google Android OS and sell it to you at cost.

Regardless, the story is still BS