Jordahn said:
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How long does any platform survive after a new generation begins, especially after the "dominant" console of the next generation is released? While it is impossible to know what will happen in the comming generation, no system does particularly well if consumers are asking the question "Should I buy this console for $200 when there is a console that is significantly superior in practically every way for $300?"
Certainly if no system is released in the next 12 to 18 months, or the market treats that system like the Dreamcast, the PS3 could continue to sell well for quite awhile. In contrast, if the next "PS2" or "Wii" is released you will see a steady decline in PS3 sales regardless of how many price cuts the PS3 sees.
We've seen this happen enough times over the years in both home consoles and handheld systems that what I'm saying should not really be that shocking.