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360 is not a bad console, it has way more appealing games than PS3.

The problem is europeans see the Xbox as a gimped PC:
- The games are more expensive, yet they're inferior versions
- You have to pay to play online
- It has almost no flexibility compared to a PC
- In the end of the generation, it will most likely cost the same, if not more, to support the 360 as a PC

And since the 360 is a foreign product in Japan, it ends up being ignored regardless of it's quality.