A) this is true, very true, but there is something psychological about a 200$ pricepoint that turns a console into an impulse buy. It's easily affordable with one paycheck, and you can get a game or two + warranty on top of it, with spending money for the rest of the week. While I agree that the actual 70% may be lower this year, it is important to note that 300$ is a disadvantage.

i agree with the Wii winning this generation, but the other point that Sony can't catch up I think is a little premature

if this generation lasts longer than previous ones (which it looks like it will - at least for Sony and Microsoft) I think the PS3 has a chance of coming in second

However, one final point is that for the PS3 to come in second it has to make up all of its ground in Japan and Others - I think there is only a very very slim (it's practically 0) chance that it will ever catch up to the 360 in the Americas

I'd agree with that, but I still think ODST and GT5P sort of belong in their own "half game" corner. <3

You have to seriously wonder whether Sony and Microsoft are in this business to make money. All these price cuts to gain an edge over each other and for what? When does Sony plan to recoup all the money they lost with the PS3 (especially when their corporation as a whole is in the red) and when does MS plan on recouping all the money they spent on the Xbox brand?

Luckily I don`t own any Sony or Microsoft stock so I don`t have to care about this. I`d be pissed if I owned shares in these companies.

I think both are now profiting, although it's a little hazy on the ps3 end whether they are making or still losing. The ps3's division made money.

@hammertime.

wii has won from business standpoint, but it has by far the lowest quality games. so as a gaming device its dead last

No, dont take people finding a complete flaw in your rationalizatiion as taking things seriously. Dont post on a forum with terrible reasoning that condradicts your final point if you cant handle people calling you out on it. Its a forum, not a circle jerk, chief.

For the most part, I agree with him.

I think the only thing the PS3 has left to spur hardware significantly is Gran Turismo and maybe 1-3 price drops. With how Microsoft retaliates to things, they may also drop price or make a Slim to negate Sony's potential gains in marketshare.  He feels that people who wanted GOW3 and/or FF13 might have bought the console a long time ago, hence a lower than expected HW boost from either title. He probably doesn't believe they will somehow make the PS3 reach a higher plataeu in HW sales. Natal has a greater potential to boost HW than Move ever will, but with the 360 already being 5 years old the effect will not be that great.

Microsoft's fine, and they see Xbox strategically as a competitive floodwall to safeguard their Wintel empire.  As long as PlayStation exists, they'll keep pouring money in, profitable or not. And believe me, they have cash to spare and then some.

Sony's in a more precarious position, they're not near as financially sound as Microsoft and (before this gen) PlayStation was seen as one of their profit centers.  I think PS3 was planned as a trojan to help Blu-ray supplant DVD, but I also don't think they expected to sacrifice near this much in the process.  Plus they also had to dilute their ownership in Blu-ray significantly to get traction with parnters, to the point where they're not even the top license holder in the group anymore (Matsushitsa is, Sony's 2nd).  It's been a bit of pyrrhic victory for Sony, but I don't see them ever giving up either.

Really though, both Sony and Microsoft see their games businesses as proxies for media hubs and other content businesses, so they'll keep chipping away at it regardless of profit and because the end gain is so attractive.  The only hardware company that really seems to be in the industry primarily for the industry (ie: games) is Nintendo.  I miss Sega, Hudson and SNK. :/

That's up to personal preference. In terms of gaming time on consoles, it's like this for me: PS3, Wii, and then Xbox 360. That doesn't mean my 360 collects dust, no, I play it often on a weekly basis, but the fact is I prefer the Wii over the 360.