Imo, in Europe and Japan its game over. slowly but surely in Europe, despite being more expensive in Europe the PS3 is still doing  a bit better. if theres a price cut later this year or next year, along with the enormous level of software pushed this year, i think its game over in Europe.

Microsoft is still doing very well in Americas, so no way is the console doomed. the brand has been extremely successful in Americas and in parts of Europe, so Microsoft will be back next gen - whether they can accomplish more than that have this gen is debatable.

Thats not true, your forget that The worlds economy is horrible at the moment...if theres no money for people to waste, no consoles will be sold, even for a nintendo console. The reason why 360 is selling better in America is because of the cheap price. so Why release a new $300 console now? Its Not Logical o_0 ...........just my opinion

As I wrote, marketing and games line-up for Kinect worked hugely better in USA, UK and other English speaking countries then anywhere else. EU price, sales tax included, for PS3, 300€ is quite more than just converting $300 to Euros and adding VAT, nevertheless PS3 here sells more than XB360, and currently more than Wii too. And don't forget Ninty announced Wii2 now, but it will launch it next year, sometime after April, when Wii and PS3 will be at least 5 yrs and a half old and XB360 6yrs and a half, the market shoul start being mature for a new gen, although it makes sense too that MS and Sony wait some more time. So the trouble, if there will be any (it's not even sure), will be as usual asymmetric for MS, as its success is asymmetric, with XB360 and Kinect being very successful in North America and UK, 360 doing decently in Europe and struggling in Japan and finally Kinect struggling in Europe and being almost inexistent in Japan. The issue is simple: 360 sales are more asymmetric than Wii and PS3 ones, so you get a different picture depending on where you look at if from. Just to see better the difference for Kinect: it just got new, intensive (but really horrible, it's unwatchable) advertising and Michael Jackson game in Europe too, yet Kinect sales rose by just 6k across the whole EMEAA, while the same things allowed it a great leap forward in America.

I'm not sure if you should call it MS in trouble but 360 is definately on it's way out as with wii, this is the advantage Sony had in mind when they made the ps3 so freaking expensive, more cutting edge tech=longer life, ps3 hasn't hit it's peak year yet, games keep improving on it, it's install base has surpassed the 360s and is far healthier then the wiis, ps3 is getting more third party exclusives now then ever, and less devs are doing sloppy ports, so yeah I don't really think MS is in trouble except for the fact that the 360 is almost done and they are in a weak position to launch a console (no first party, hardware issues from last gen, charging for online unappealing, if they make one now difference between consoles won't be that big atleast not at a decent price)

wow I cant believe you truly believe this, Kinect is a new tech, unless Wii has something sooo similar but better Kinect will be developed for, Where I work (in aus) i havent heard of any devs etc but im getting Kinect developers en god damn masse. Its incredible. They are buying a Kinect without a need for a console. 

Now if all this is getting done on the PC a lot will be carried over to 360, if you dont think this then I honestly don't know what to say tbh

See this is what I dont understand, most of the features of Kinect arent avail outside Japan, US and UK. 2/3 of those regions are going gangbusters for KInect, hell 100k were sold last week.

5 years might be a generation for xbox and wii, but ps3 is only half way and hasnt even peaked yet.

but the system that ends up in 3rd place has still done very well considering there are 3 competitive systems this gen (or half of a gen)

how do you know they havent peaked... in fact they techincally have, they have had a highest sales year so far. There might be a better one and that'll be their new peak year. 

Experimental uses for Kinect on PC are a good thing, a very good one I'd say, but even if they could affect positively and significantly 360 in return, will they be able to do it in time? As I specified answering Lyrikalstylez, Kinect is not in trouble in USA, UK, Australia and other English speaking countries, but it is elsewhere, and if a lot of new platforms, devices and other novelties will fight for users' attention and money during the next Xmas and the year after, Kinect, that isn't new anymore and already had a huge launch marketing campaign, followed by another big one started before Easter and continuing right now, so drying up the novelty and hype factor, will have a hard time to grow where isn't already strong. Where it is, it will thrive, but where it isn't it will probably struggle. What Kinect achieved in some countries is outstanding, it crushed Balance Board without mercy, but for some reasons it wasn't able to do the same in the rest of the world.