Oh I pretty much agree with OP, a little colorful and contestable on certain supporting information but pretty much. If Sony didn't mess up with the Cell MS wouldn't be so well set this gen. MS's policies are oppressive, their business approach is dependent on popularity, PS3 would have taken all support from it if things didn't go the way they did.
PS4 might, and I hope, change things. If the dev reaction is anything to go by, it will. MS fed off Sony's mistakes and cemented a consumer culture that felt attached and involved in their product. Maybe it's just most people don't care or just don't know about the things that I seem to care about with this industry, just siding with what seems to be the games to have and what their friends have. Hopefully, PS becomes that console. If so, MS won't be able to maintain their business plan.
EDIT: MS seemed to have a pretty solid stragelhold on the US hardcore gamer market this gen. Competition seemed not to touch them in the minds of many gamers in that region. It fed into the console war.
Before the PS3 everyone was nice to me :(
