The PS3 has really taken off in Europe/Others.  Microsoft doesn't have a chance in Japan, is still very strong in the U.S., but needed Europe/Others to stay relatively neutral.  Over the last few weeks, Euro/Others for the PS3 has really taken off.  Is this the beginning of when the PS3 starts to outsell the 360 on a worldwide basis from here on out?

I know Microsoft wanted to make some money back in the 4th quarter but I think they blew it with the $50 price cut.  I think they went too thin and gave people enough pause to consider the value of the built-in BRD in the PS3.  With a $100 price cut instead of $50, I suspect MS could have really handed Sony their ass this holiday and made it that much harder.

As it is, we still need PS3 global sales to outdo the 360 by half a million consoles a month to catch up in early 2009, but it sure seems like the trend is headed that direction.  With HD-DVD now a real longshot, the value of the BRD player in the PS3 justifies a sizeable price differential and most certainly wins when comparing an elite to a 40 gig PS3...

What are your thoughts on the coming year?

Rol is right -- we simply need more time. My gut feeling is that, yes, MS is in trouble with and will eventually cede second place to the PS3. It will not happen in 2008 though, of that I am almost certain. It would take nothing short of a miracle.

The 360 reliability issues will weigh heavily on Microsoft in 2008. People are becoming less patient, and a lot of people who stood up for MS in 2007 and believed MS did something to address the RROD issue will be met with the same problem themselves.

Sony has the momentum (relative to MS) at the moment.

They could be....

It really depends upon the developers. The Wii is going to be a huge hit the whole generation and will continue to pull people from any number of markets into its stranglehold....those are the casuals. They will buy games for the machine....but not as many as gamers. Nintendo certainly has its share of hardcore fans and core fans so the sales numbers will be decent even though the majority of Wii owners will be soccer moms, old folks, and other expanded audience members.

If developers just go off this and think that they should follow the money then the 360's days are certainly numbered. The potential market for the 360 is not nearly the size of the Sony or Nintendo's. Both Sony and Nintendo have shown proven success (in one generation or another) at both catering to and luring in casual gamers. The 360, except for Sports/Rhythm games hasn't been able to push over to the mainstream casual gamer....and probably never will. They have a reputation as a hardcore system so they will have to take what spoils that affords them.

The thing is....360 owners love games. They buy a lot of them...bushels full of them. Even when the Wii market is booming the 360 will be able to keep up with them software-wise, just on the backs of the main 360 audience.

If the developers remember that...then the 360 is fine. If they forget or doubt that...then as they stop making games for the system it has only one play to go...that of the XBOX/Game Cube. No number of price cuts will help them (even a $99 Price point) if they don;t have the full support of the development community.

2008 is the year that decides if this generation is a two or three-horsed race.

I'm guessing that EU/Other numbers for the ps3 should drop to about 80 ~ 90 thousand next week. Around 125 thousand ps3's were sold in EU/Others last week, and Spain accounted for about 45 thousand for all of those. So Spain numbers should drop to around 15.000 to 20.000 i think for next week, and because it's right after the holiday season, numbers should drop another 10 ~ 20 thousand in the rest of Europe.

If PS3 ends up with all teh same games as 360, then eventually, PS3 will beat 360 out.

360 is seen as an online presence. Eventually Wii and PS3 are going to show a presence in that field as well, and 360 won't have anything to show itself as being better than PS3. Between the Bluray format starting to edge out in the format wars, and the bad press that 360 has gotten over the RRoD issue, as well as the fact that Sony still has the brandname recognition from the PS2.
If Little Big Planet is a success, I think that will set the stage for the PS3 to be accepted by casual consumers, which will in turn help edge out PS3 sales over 360.
Lets not forget that PS3 is beginning to do better in Europe and Others, whereas 360 is doing miserably in Japan and is only really doing strong in America.

I think another thing that could spell success for PS3 is if they can get some of the other big titles for the 360, like Gears of War and those games.

Or PS3 could totally dry up, who knows. They made it this far, and I never expected them to hit 6 million back at the beginning of the year.

Basically, My assessment is that PS3 has more good things going for it in this upcoming few years than I see for 360.

Microsoft's only footholds are in the United Kingdom and the United States. In contenintal Europe and Japan they're just about finished.

They are in danger of getting passed up by the PS3.

Hey Rol , where do you get your average scores on games?

Like many others, I think they are in danger of being passed by the PS3. I doubt it will happen in WW totals in 2008 though. Even if they do slip to third place though, I'm not sure it's really a total loss for MS. I think they're still in good position to outperform the original Xbox in all regions, end with more market share that the first Xbox, and maybe even turn some profits.

we'll see what happens when gta4 hit and prices drop, then worry.

While it wouldn't be surprising if PS3 passed 360, I think it's still a while off. Plus, we really can't tell whether this is permanent for a few weeks. Even if Sony starts to catch up in Europe, it would take a lot to make up for it being so far behind in America, gaming's largest market.
Plus, the 360 might eventually profit. The PS3 probably will not.