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Who did what wrong? Simple

Sony - Too high price and overly complicated design making it hard for developers.
MS - RRoD fiasco and not managing a lot of their IPs well.
Nintendo - Wii too underpowered. While I think it was a good choice to not go as powerful as the PS3/360, they held back far too much.

The most potential to win? Sony. They utterly dominated the PS1/PS2 era. The PS2 outsold the GC and XBox combined by a HUGE margin. Instead of improving their position they came in last. Had they launched the PS3 at a reasonable price I'm sure they could have maintained a market share more in line with the PS2 days.



Turkish says and I'm allowed to quote that: Uncharted 3 and God Of War 3 look better than Unreal Engine 4 games will or the tech demo does. Also the Naughty Dog PS3 ENGINE PLAYS better than the UE4 ENGINE.