If Sony was after Nin, then why go after Sega first after partnering with Nin? Why not partner with Sega instead of Nin for hardware, then take Sega out, and save Nin for later? Sony didn't even take either out. MS basically took out Sega.
Sounds like Sony simply wanted into the console gaming market and decided to use another player to get their foot in the door, which is exactly what MS attempted to do in the first place with consoles. Difference being it seems like Sony just wanted to cash in to a growing games market, where as MS mainly wanted to stop PS from growing. Nin breaking off from Sony looked to have made a direct enemy for Ken, so he focused on going after Nin because of it instead of just taking a piece of the gaming pie.
I'm not saying Nin should've just caved to Sony in the first place with their partnership, but they should've tried much harder to make a better deal with Sony, or should've backed out in a much more civilized manner. It would've either stopped the eventual PS competition, or would've made Nin less of a target.
Nin was at least correct in that Sony was definitely going to eventually be competition if they broke off and did their own thing, where as MS simply assumed PS could possibly become competition for the PC and their OS. It's not so clear whether or not PS would've started creeping in on the PC market or expanding into it. If anything, PS has only gotten into PC gaming recently because MS got into consoles and has slowly been attempting to merge console and PC games. It kinda looks like MS is actually pushing Sony into doing what MS feared might happen all along, which is kind of ironic.
Sony did try partnering with Sega after the Nintendo deal didnt work out. But like i said it didnt even make it past the board of directors at Sega.
Sony itself didnt want to make a console or get into gaming as they seen it as a toy and for kids. It was Ken who went behind their backs at first to make the Sound chip for the super Nintendo and convinced Sony that gaming was an emerging market. Sony pretty much agreed as long as they could partner with one of the established companies being Nintendo first when that didnt work they went to Sega but when that didnt work for them and being Japanese company they probably felt embarrassed after it (Even more so with Nintendo's announcement and people expecting something from Sony) and then investing into it Ken got the go ahead to make the playstation without needing Nintendo or Sega. Sony was a billion dollar company compared to Nintendo and Sega, They had Movie Studios a record label, making electronics etc. They where able to use all that money to make Playstation a success by lower license fees, paying devs to develop for playstation, massive tv and radio and newspaper adverts. Back then the was no chance Sega or Nintendo could compete with them on the same scale, Sega tried and failed since Sony was targeting the same userbase sega had and they where releasing their nextgen console before Nintendo so thats why Sony undercut them by €100. Nintendo failed that gen too since playstation got so many of the devs and publishers that used to make games for Nintendo consoles to pretty much just work with Sony. Only reason Nintendo survived is they always made their consoles at a profit. and in the end Nintendo ended up finding a new stratagy with the Wii and now the Switch.
Some guys working at MS (Just like with Ken) seen the video game market as the future and thought Ms should get in on it. Ms didnt really want part of the console market. Them small few guys working at Ms really wanting to make a console went and convinced bill gates that the Playstation 2 could eat into the PC market as they where already on the way to taking over the living room (Something bill gates also wanted with media center PC's he wanted windows to be the center of the house, bill gates ended up giving them the go ahead to see if they could find a partner to work with on the hardware and they would make the OS. Remember Ms at first wanted other hardware makers to make the xbox. When this didnt work out the guys went and worked on their own hardware trowing together some pc parts and making it work like a console and the xbox was born.
Sure thats just the gist of it and the is more to the story. But just like Sony thought of gaming consoles as a toy and didnt want in on the market until ken convinced them is not much different then how Ms didnt want in on the market until some guys working there convinced them.
So just like MS having so much money today that Sony fans complain about being able to use was no different then when Sony entered the market back in the 90's. Sony was the multi billion dollar tech giant entering the console market just like Ms was when they entered compared to Sony.