makingmusic476 on 27 May 2011
Why would Microsoft be any more willing to "take a bath" on their next console than Sony? The living room market turned out to be far less lucrative than either Sony or MIcrosoft envisioned back in the late 90s, with smartphones becoming the far more popular and successful convergance device market.
Both companies are now in a position where making money is more important than marketshare. The billions lost on the original Xbox, 360 launch, PS2 launch, and PS3 will not happen again, as there is no longer any long term goal that'll make such expenditures worthwhile. The "battle for the living room" ended up not being much of a battle. It's now a battle for your pocket, and that's where Microsoft's money is going.
