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If anything, Microsoft are just doing Sony a favour the longer they take with the nextbox.

Sony can't afford to be last out of the gate again, and certainly not by a whole year. And as the sales figures (and new releases, to an extent) show, PS3 still has a lot of momentum this gen.

I think MS are doing the right thing, by the way. They'll get a decent hardware push this holiday with Halo, so it makes sense on their part to make this gen last as long as it can. And although it is helping Sony too, I shouldn't have thought they'd worry about that too much.

The problem will be weathering the hardware sales between the holidays and whenever the next Xbox is coming. But I'm sure they'll cope.