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The PS3 is definitely doing well, particularly compared to this time last year, but unless the sales gap in Europe between PS3 and 360 continues to widen and the sales in the US start to strongly favor the PS3 over the 360, then I the "catchup" in Europe will take a while and in the US will take just about forever.

Sony needs to have a game plan for something new to favor PS3 every month or so for the remainder of this year unless they want to stay in 3rd for a long time. I doubt MS is going to sit still forever and just wait for Sony to pass by.