Xbox 360 and PS3: Success or Failure?

[slowmo]

Given it's impossible to actually gauge exactly how Microsoft faired given the masking they do in the division they put the 360 in it's hard to say for certain if they've made money on the 360 or not. My gut feeling is they have so with that in mind I'd say the 360 has been a success just not as big as it could have been. Without the RROD fiasco the 360 would have probably made the PS3 stillborn and that was a missed opportunity. In summary it was a success but only just.

The PS3 had huge expectations (we were all there for the bluster hype and arrogance by Sony) which it frankly has never fully lived up to. When you consider how much more expensive the PS3 was for the first couple of years, you have to question why the console wasn't significantly ahead of the 360 in terms of the graphics on titles released. Sony messed up the technical architecture, messed up the costing, messed up the marketing and ultimately paid a huge price in profits having to drive sales with a huge early cost cutting exercise. All in all it is surprising the PS3 has done so well sales wise but that's what brand loyalty and strength will do for you. Given the PS3 has lost significant market share, lost billions in profit I can't consider it a success. I will add that the hard work Sony did in cost reduction and hence price reduction combined with driving first party exclusives to make the PS3 the number one choice for some gamers means this generation hasn't been a disaster of epic proportions it could have been and the customers will go into next generation thinking about the new IP's they've played in the last few years rather than the overpriced barren console they started with 6 years ago. In summary it's not a success but a good recovery means it has laid a strong ground for the next generation and there is a chance of the next 4-5 years they can reduce some of the losses (they'll never recoup everything back).

It is important to note that this generation may have ended up completely differently had it not been for the Global economic downturn which certainly has a huge effect on Sony and their exports in the last couple of years.