How will the industry crash? Playstation and PC gaming are rapidly growing and with PS4 preorder exceeding expectations things seem to be going really well. If xbox dies no one will care. They didn't offer much for gaming anyways. Online was bound to happen and everything else they are trying to "innovate" on are gimmicks and some even half assed ones. M$'s can be a 3rd party publisher and they can still rake in profits from going pc/ps4. This most likely won't happen but it's not the end of the world if it does.
Regarding Sony falling apart. In the past 10 years Sony's total profits is over $7 billion in the black. $9 billion from financials, $7 billion from movies music, and -8.5 billion from electronics. They are far from falling ;)
http://www.nytimes.com/2013/05/28/business/global/sonys-bread-and-butter-its-not-electronics.html?pagewanted=all&_r=0
