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Gballzack said:
that's very true, Nintendo started telling the gamer what they wanted instead of trying to expand their market, that's why they failed, and that's why Sony is failing now.

That pretty much sums of my opinion of why Nintendo failed then and why Sony is failing now. Sony succeeded with the PS1 by providing a system that was cheap and easy to develop for at a reasonable price. The PS3 has none of those qualities.