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There are 2 phases in the console generation cycle:

  1. Revolution: A new system allows developers and gamers to see videogames in an entirely new way
  2. Evolution: A new system takes the revolutionary concepts of the previous generation and refines them

Revolutionary systems are successful because they're the system that becomes directly associated with the revolution ... Evolutionary systems are sucessful because of brand name, the early mover advantage and consumer expectations.

In neither stage is the technical performance of the hardware of primary importance, and many of the things which are more important then technical performance work against being the most powerful console of the generation.