To be fair and accurate, they first stated this before the PS3 actually launched.

Of course they knew they had a high spec console thus with a high entry pricing compared to rivals.

An expansion to a work out tool,
a re-release of games that are already out,
some D grade platformer,
and a poor excuse for a resident evil game do not come close to madworld.

Madworld and Little Kings Story are the only options. I think Little Kings Story is a better game, but Madworld is certainly amazing too.

the is doing really well. All the hard work has payed off

  Rabbids go home is far from a grade D platformer, in fact I'd say its at least a B-B+ game (its no Mario, but still a lot of Manic fun)

If Wii Sports resort made the list, then Wii fit plus should easily

How is Madworld even decent enough to be on the list, the game was crap

Quotes from July 2005 (PS3 first launched at the end of 2006, these comments were made well before any of the new consoles launched):

"We're looking at a life cycle of 10 years with the PlayStation 3. We're currently shifting from standard TVs to HD TVs," said Kutaragi.

"I'm aware that with all these technologies, the PS3 can't be offered at a price that's targeted towards households. I think everyone can still buy it if they wanted to," said Kutaragi.

"So we're going to have to do our best (in containing the price)."

So I think it's a bit sad to read such comments from many people (usually from rival console fanboys).

ROFL, I can't believe they didn't see the fail in what they were saying

  Difference is, I'm not getting paid to do that or running a large division in a corporation and making those comments, I'm not an analyst, like those who said Wii would be Nintendo's last console, nor a guy like those at Sony and MS who laughed at the Wii when it first was announced, I'm just a guy on a forum doing this for fun.

Well, i should clarify....they knew before hand that it would be slow due to what kutaragi mentions, so they burned it into peoples minds to try to save face, id guess......which they obviously failed at trying to convince people it was worth the investment at the time.

So the argument for another thread would be how risky, and to this point, this day, a bad decision. But in 2 years we may look back and it was a good one.

Regardless, to not stray too much from the topic, its good the PS3 is selling respectable amounts and the YOY increase is easier to achieve when they were so low last year compared to their competitors. Kind of a double edges sword, they can tout great increase but you can experience larger increases due to poor performance. We could go around in circles, but i dont like YOY % touts, especially when its increase is due more to teh low starting point last year rather than the enormous amount its selling now, which isnt enormous, its merely above average.

The PS3 is far from a failure.

Of course, if you consider a platform with seventeen games over 90 on metacritic, owner of exclusive game of the years for 2 years in a row, with a free online service that is nearly at par with xbox live, a pay service, with just as many if not more stellar games on the horizon, with an excellent 299$ price point offering more for the consumer for their dollar spent than any other console known to man is a failure then I guess it is.

the ps3 is the only console to ever gain such steam after being behind so much. even then, its already outsold the entire lifetimes of the N64 and the gamecube.