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But Sony isn't Nintendo. Their entire strategy is to try to appeal to people who don't just want the machine for gaming, but to people who want to be able to use it as a multimedia/productivity device and a gaming device at the same time. Look at DVD playback in the PS2 or Blu Ray playback in the PS3 or MP3/video capabilities in the PSP.

Sony can't out-Nintendo Nintendo. They probably can't out-Apple Apple. But they sure as hell can out-Nintendo Apple and out-Apple Nintendo.