I wonder what M$ has up their sleeves. People thought last year that their 2008 lineup would be crap. M$ just holds their cards a little closer to their chest. Should be interesting to see.

I definitely agree with the OP. For me, Fable 2 finally gave me the "WOW!" response, and was the first game on the 360 to do that. Gears did it for many, but it's really not my type of game. The first and second party titles give the console personality, while just making third party titles non-exclusive just give a "me too" image. However, the jRPGs did win me over on going console agnostic between PS3 and 360. If it wasn't for that, I would gladly just have a PS3 and a PC as most titles can be found on those two.

@finalevangelion, about your others prediction.... so close, but not happen yet got a revision on when the ps3 will pass the 360 in others?

More than anything, I'm concerned with that Mistwalker situation. It's true that now Microsoft has support from big Japanese developers: SE and Namco so they don't need Mistwalker as much as they used. If they really stop helping them, I don't think they can survive much longer as they pretty much only made flops since they were created with the exception of Lost Odyssey.

This is the problem with Microsoft moneyhatting Japanese exclusives. Companies are happy because they make money no matter if the game sells well or not (and they don't sell well). However, the usual fanbase of the companies get disinterested in their games after that. We can just look at the sales of Eternal Sonata on PS3 in Japan to get an idea.

the sales of eternal sonata and other delayed titles on the ps3 dont give a full picture in part due to the delayed nature, and the rejection the highdef market has faced in japan. they have however done what ms has need and bought credibility, this credibility extends to more japanese centric games on the console, and more console sales, which could even give them a running chance next generation to be number 2 there. on top of that you have games that may just not be apealing to the audiance they thought they were going to, that does not mean they are bad gams, only they are not what the market wants. 

the sales of a ps3 exclusive in japan say ff should give us an idea if hd is truely a viable platform there, the results should be interesting.

also more than anything ms is fallowing the same system they use in the pc world... develop a platform, a few mega hit software, then help 3rd parties build upon that foundation and profit .... that seems to be there long term goal, and that stratagy would allow for fewer home grown software ips, but more that need to be home runs, where less performing ones get cut from the family and major hits get grown.   or to put it bluntly the  MS bobs will be cut, the MS words will become office 

hmmm I had done researches a while ago on the bungie MS tides after separation... I do not have any links to prove what I will say.... but of what I understood back then... MS does have the first right on publication.... the thing is.... bungie doesn't have to develop on 360.... which means they could be working for any platform if they want to... up to MS then to distribute or not.... that's what I got out of what I read... and the 1up article doesn't really disclaim that....

now about 1st and second party.... I think what we are missing here is that MS invested tons of money on 3rd party... focussing on developing long term relationships with them... that might explain the small amount of in house development... my guess is you might actually start to see those studio start producing exclusive IPs in the near future.... 2009 might be there for that.. who knows???

sony has the best 1st party and in house games

hmmm i think nintendo is also good on 1st parties don't you think ???

Just to be fair they were NEVER sony exclusives they were published on the dominant PS2 cause of the 130 million install base there was no exlcusive contracts or money.  MS is going with a different strategy I like having a strong first party in house but we will see how outsourcing yuor games works the sacry part is the ousourcing is working in the real worl.

Half my IT department are outsourced

from already released yes, upcomming, wii music/animal crossing don't look like it. to my tastes.