I think that the loss of exclusivity for PS3 is of similar proportions, and perhaps just as pivotal in the eventual outcome of this generation.
Sure PS3 gamers still get to play the game at least, while N64 owners were denied the series altogether, but third party exclusives are more important to Sony than Nintendo, who have the benefit of a strong first party portfolio. Indeed, third party franchises such as Final Fantasy, MGS, GTA etc have in the past defined the Playstation brand in the same way that Mario, Zelda, Halo etc represent the competition. The continued loss of such high profile third party exclusives is extremely damaging.
Of course, Sony have Gran Turismo, but nothing else in the same league. They should put more emphasis on first party development.
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