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Chris Hu said:

They wanted to stay in the console business you stay in the console business by always having a console on the market and widely available.  Again not having a console available for purchase would have hurt them more then the RROD ever did.  Nintendo never took a break and had a period where their where no Nintendo consoles on the market neither did Sony or Sega when they still where in the console business.  As a matter of fact Sega could have been in the console business a while longer if they didn't have supply issuses during the Dreamcasts early life.  Between the 2600 and the Atari Jaguar their where periods where there where no Atari consoles available or if they where only on a limited basis.  Even though WB, Universal, and Paramount have all been making movies for over 90 years you don't think it would hurt them a whole lot if for some crazy reason they decided not to release a new movie for over a year.  Also the original X-Box was only available for four year from 2001 till the end of 2005.  The 360 launched on November 22, 2005 a little more then four year after the original X-Box which launched on November 15, 2001.

I'll give you that it's possible, but I'm not talking about a 6 year hiatus, I'm talking about delaying by 1 year and continuing to support the past gen xbox with softare despite not being able to sell HW.

Very different picture than the Atari hiatus.