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I can agree with most things here. I would disagree with the idea of Sony being hardware first/software last.

I think they took that approach the last generation and it killed them. This generation, they've been more focused on delivering a balance of all these things (hardware/software/services) which is why they are at the top of their game.

While Nintendo constantly focuses on innovations in both hardware and games and delivers unrivaled quality on a consistent basis, we can say the best that Sony has made still rivals them. Think Bloodborne, TLOU, Shadow of the Colossus remake, Spider-Man. And Sony is the only one focusing on VR adoption so innovation isn't too bad (although I think Sony plays it safer than the other big 2). They've also been receptive to dev's needs, indie and 2nd/3rd party alike so whatever they get for exclusives tends to be great stuff.

In terms of services, Microsoft is obviously king, because it's ecosystem inherently is about supporting Live and Steam to a certain extent (because PC gaming is basically Microsoft Windows gaming...just look at how little impact Apple or even Steam with their own Linux box have had on Windows gaming market). So Live mimicking what is going on with PC is pretty much the same philosophy the company has had since the OG Xbox, albeit more streamlined and less fleshed out.

But with PS4, we've seen plenty of services come into existence or become better to the point they can rival Xbox's. PSN is stable and safer than ever and offers plenty of great games for free like Live. It's gotten Twitch and social media functionality out of the box too. Sony's come far in this space.

So yeah, I think you make a lot of good points, but I don't think the hardware first/software last philosophy is the one Sony has taken. I think it's been all about balancing those two and the services, which is why Sony wins a 3rd out of 4 generations they've been in (and they did a killer comeback when they focused on the gamer's needs at the end of the PS3 life cycle).

But overall, I don't think any one company exceeds so much in any category this gen. A lot of great quality all around which is why the numbers aren't so skewed. Switch is outselling both on a monthly basis, but PS4 has the lion's share and isn't going anywhere soon. And Xbox is constantly in the background doing its thing and setting themselves up to support an ecosystem that is bigger than what Sony and Nintendo have in terms of gaming, even if it's mostly non-console gaming.