I disagree. The PS3 is a distant third. MS' main goal with Xbox was to keep Sony in check. Now the Wii has actually helped them, so MS itself doesn't have to be number one in any gen, as long as Sony is third.
I don't remember the argument from the top of my head, but MS strategy against Sony had something to do with the battle of the living room, right? Can someone enlighten me on this please?
It's not easy to both have the hardcore market (machine needs to be high end, and therefor expensive) and tons of casual players (need cheap machine and a different type of image around the product). I believe MS is satisfied by coming 2nd in this gen. Wii will be twice as big as the X360, but Wii ain't no threat to MS longterm plans about being the media center of the living room and having millions of people connected to an online service that offers more than just games.
Wii will reach 100 million by end of gen.
X360 will have 50 million
Sony 45 mill.
MS will be satisfied with those numbers, and the strategy for the Xbox3 will be to conquer Europe and thereby enlarge it's target demographic. Japan hardly has any importance any more because of the total Nintendomination, plus nowadays Japan is a quite small gaming market anyway - it's share of the total WW market for next-gen hardware is only 16% (while NA has 50% and Others has 34%).
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