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Bodhesatva said:
My, this got derailed faster than usual.

This isn't exactly new information (other than it coming from the CEO rather than from someone nestled in the Xbox division), but I expect based on recent statements that they will focus on Europe most particularly. Not that they're giving up in Japan, mind you, just that they have a shot to take a significant part of the European market now, while Japan is still years and millions of dollars of investment away from being truly meaningful.

Don't you think the Europe boat has already sailed in regards to stopping the PS3 in that region? I mean, 360 has thrown their best games at Europe, the cheapest HD system on the market, and throwing a larger quantity and better versions of majority of games and yet France, Germany, Italy and Spain just don't want to know.

Other than drop price, which Sony will most definitely match, there is nothing Microsoft can do. Sony already have major Europe centric games on their system and some exclusively. Games like Ninja Gaiden, Fable 2, Alan Wake don't appeal to the European market like they do the US market, Forza is going to get out done by the more profile Gran Turismo 5. So I really don't think there is a hell of a lot Microsoft can really do at this point.