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This is a nice read. The part about Xbox Live is interesting. People pay for that now, they will pay for it next gen no doubt. Those consumers are loyal to the Xbox brand, it dosent matter what the competition offers there will always be millions of fans who will pay for Gold membership, just like they are now.

I'm not sure about games, since at the moment, Nintendo included, the best selling games, and the most popular are 3rd party games. Thats not going to change. So even if Microsoft dosent have many first party games, they have 3rd party games that will sell on the console.

The thing that I think will be the major difference next gen is the price point. Will Sony release cheaper than than Microsoft, at roughly the same time, or even before.

However I do want my new Sony console eventually, so I hope that Sony bring it out next year or 2014, this gen is nearing the end imo.