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Microsoft is finally catching onto what nintendo is doing. Im a big nintendo fan and would hate it if nintendo lost first place but ill let you all in on a secret ;) you prolly hate being told this by nintendo fans but it seems as though nintendo fans are the only ones who care to understand what nintendo is doing.

Nintendo attracted the over shot market with its wii. The ps3 and 360 took their technology and prices to far leaving a huge market behind! The best way to compete against your opponent in this kind of industry is not to compete against them at all but to pick up the market that’s been over shot. This only works in an industry where the market is being hugely overshot like it is now.

but none the less what MS is doing is beginning to attract people in the over shot market thus by not directly competing with sony they are actually competing quite competitively.


EDIT:
So it makes more sence to compete with nintendo then it does with sony. They wont over take nintendo but by dipping into the over shot market they may manage to pick up the sales they need to remain in second place.

funny little note ill add: I got my girlfriend (now wife) into video games buy getting her hello kitty on the original xbox and now she loves all of nintendos cute games like super paper mario and animal crossing, she owns quite a few games all because ms introduced her with a simple hello kitty game but was then unable to hold onto her by offering truck loads of more games at a price she could aford. Ms needs to get this market and then hold onto it. One or two games isnt going to be enough other wise we will see alot of people feeling as though they have wasted hundreds of dollars on a system that is only offering them a few games they like and they see the value of the wii, with games they love and then move over to that. If MS dedicates them selves to this market it these new games their making will pay off in the long run



If at first you don't succeed, you fail