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I worked in the console market for about two years, just recently withdrawing. I was a regional rep for some major game stores, like Gamestop, Electronics Boutique, and Game Crazy. From a professional standpoint, I'd have to say that Nintendo would be the first to bow out of the console market. I honestly see them going the way of Sega, and producing their high selling first party software to Sony and Microsoft. I would expect to see one more system from them, in fact I know one is in progress as we speak.
Then we get to Sony. They're not going anywhere. The problem I see with Sony however, is that they're trying to turn the Playstation into the ultimate home appliance. They're discussing plans to use the PS as a universal remote/multimedia interface. I think to keep their current success in the market, they'll need to continue focus on gaming and not a multiplatform media device.
Finally we've got Xbox. Gates knows what he's doing. He's proven himself time and time again. He's also got near unlimited funds to make sure Xbox stays in the market. Xbox Live! is the key to the Xbox. It is what will drive Xbox into the lead position in the console marketplace. With Sony losing grips on some of their exclusive rights, Xbox will begin to emerge with their more powerful machine. We were informed recently, before I quit, that the release date for the next Xbox will be the same day as PS3. There will be no gaps between releases. Gates has been quietly collecting high dollar 3rd party software houses to make sure the new Xbox stacks up to PS3's lineup. Rare was just one of many accquisitions that Gates is making. Expect to see a serious battle between Xbox and PS3 in late 2005.
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