I saw a thread just now about if you care if 360 beats PS3.  I don't really in the grand scheme of things, but I would like to see them tie for a few reasons:

MS would learn and possibly correct the following:

1.  The only system charging people for online play.

2.  A mountain of overpriced things on xbox live (for example in some cases of old games, the map packs cost more than the boxed game)

3.  The 'On Demand' games service pricing model (GRAW = 40 dollars on xbox live, or 10 new across the street from my house).  Theoretically games with no manufacturing costs are not 4 times the price.

Sony would learn a few things too:

1.  Having a bit more western focused games is a good thing.

2.  Lower prices WILL lead to success (see the new psp for evidence they are not learning)

Those are some quick points off the top of my head, but the key point is BOTH companies would add more value, and put more effort into their products.  It's best for everyone if the systems tie, not if one wins.  Because if there's only one system, our hobby will get a lot more pricey.

Sony isn't doing too much better with the few retail games they have on PSN. PSP Go looks pretty awful, too, I think.

I basically agree with the rest.

@badgenome

haven't checked out their on demand too much, just been rockin batman and metal gear on ps3 but consider that added to sony's list then ;)

Well, all those are good points but even if the gap closed I'm not sure either company would learn.

MS really do over-charge for a lot of the stuff online and I really don't like the fact that they charge people to play online. I think everyone should be able to play online for free but that Gold membership gives you a LOT of extras to make it worth spending the money on.

I think Sony has already learnt to make more Western games with all the new Western style IPs this gen. They really do need to price there hardware better and the I agree the new PSP currently looks like its just gonna be one big fail.

The biggest thing that all the console companies need to learn (and some already have) is not to become complacent, not to become too arrogant (consumer perception that is) and not to take your customer base for granted.

The one thing closing the gap will teach them is that jumping the gun on the competition to get a few extra sales isn't going to help. That way, they won't ever release another failure ridden console, then spend billions trying to fix it

They can't really lower the price on PSPgo.. All the money they've lost on PS3.. Let the go bring some of it back. I think the PS3 sales after the price drop really spoke to them, though. Maybe they've learned their lesson.

I think they all struggle with overly upsetting retail sales, as that's where the bulk of their revenue comes from, and keep their digital offerings essentially at RRP apart from the odd promo.

I actually hope the PSP Go succeds simply because it is, I think the most open move by any of the players to offer a real digitial focus.  Of course, there's no evidence yet that Sony will offer games at lower prices, but I'd hope they would, as the device is clearly reliant on digital vs retail sales (unless they start selling boxes with a download code, which would be just silly IMHO).

@Reasonable

that is true about offending retailers, but what could they do? stop selling games?

Nice reasoning. I agree with all points at least to some extent.

I share the same opinion.