They are related but it was a gamble for MS they needed to build up a lead they dont have the brand recognition of Sony and Nintendo did it pay off is the real question

   The only way Sony is going to win this generation or later generations is if Microsoft finally decides 10 billion in losses is enough (projecting a year or two) and moves on to not doing well in other things (maybe concentrating on doing badly with the Zune, IE8, Vista or their dozens of other epic fail projects suported by Office and XP monopolies).  Sony is the only company atm that has a chance at passing Nintendo since MS leaving would consolidate the hardcore gamer market into Sony (which is how Genesis did so well, the original PS1 and PS2 did well ect).  This would set up the eternal dichotomy of games with Nintendo taking the casual and younger side heavily and Sony taking the hardcore and older side heavily.  

    If somehow Sony dropped out it would be harder to see what would happen.  I think most Sony players would not go to the 360 and would just head to Nintendo, the PC or something else.  I for example would rather go PC exclusive and maybe buy a new Nintendo system then deal with the MS crap like paying for online play and broken hardware and I'm sure I'm not alone.  Most current Sony gamers have good memories of old Nintendo hardware (NES, SNES maybe N64) and no such loyalty to Microsoft.  I doubt anything in the world could make the Xbox line the number one console, there are just too many forces working against it.  The Zune has a better shot at passing up the Ipod then the Xbox does of being number 1 in gaming.

360 has one more solid year, if they can't win it now they won't keep second place.

they just lost 120k lead in the last two weeks.

Wow can see the MS love from this post.  I love how you point out 10 billion is losses by MS first off it was 6 nbillion, second the 360 actually is MAKING them money now, they are currenly is 2nd place that is not debatable.  And this generation of consoles SONY has lost way more money than MS (Billions). 

I dont want MS to drop out or sony or Nintendo compatation is good for you and me the reason MS dropped the price was Sony the reason Sony will drop is MS keeping them all in the market is good even if you dont like them.

PS Vista stinks but they are making a bundle on it.

2 countyer points

1) yes they make up 120k two weeks right before the price cut.  The 360 numbers are down people wont buy it before the price goes down.

2) with a 5.3 million lead you can give up 120k..:)

They are going to have a real hard time doing that.
They are getting crushed more and more by the PS3 every week in Others and the PS3 is really starting to go full steam there, even ahead of the PS2 this year..........

The price cut will help but they need a marketing plan to let everyone know the RROD days are over and about the library of games they have

Wanna do a Lion King bet on that?

no chance in the world

i dont even see it as 2nd. Sony is FIRST in the HD market, I think MS might have meant 2nd in the HD market lol