One thing they seem to have ignored is the writers strike. If this thing goes on any longer, the fall TV season will likely be wiped out as well. With nothing on TV, people are going to look for other sources of entertainment.

a damn good point, i'm already tired of the shows on tv and it's only going to get worse.  reality tv sux, although american gladiators was mildly entertaining yesterday.

Well It wont see a big rise in % as the jump from 06 to 07 , but I still expect it to rise :)

This doesn't make any sense at all. The Wii will keep selling no matter what, the PS3 is getting a bevy of uber-popular game franchises, and the 360 should see a pretty significant price cut early in the year.