[quote name='optimusprime']The worst thing that could happen for Microsoft is if Sony waits until the xbox2 launch to start heavily promoting their PS3. People have proven in the past that if a Sony product is in the works, they will be patient and wait for it (that's what happened to Dreamcast, despite its high quality software and relatively low price point). Between that and the PSP, I agree, Microsoft could end up on the short end of things.[/quote]
Hmmm I am not so sure there is that much brand loyalty to Sony. People realize Microsoft is a major player, and I don't think they will "wait" if Microsoft puts out a good next gen console. People waited for the PS2 over the dreamcast because at that time the perception was bad of Sega, despite it having quality titles. Sega didn't have the ability to push and market the dreamcast hard enough and people expected it to fail in the face of Sony/Microsoft/Nintendo. Microsoft has a strong image going into next generation, many many times bettter than Sega coming off the Saturn. If anything people haven't waited for Sony, Sony has gotten where they are by releasing earlier (PS1 vs. N64 and PS2 vs. XBOX/GCN). These last two generations Microsoft and Nintendo were the ones people "waited" on, and IMO suffered because of it. I think Nintendo used to have the perception that players would be loyal and wait but that didnt necessarily happen. Of course this all depends on many, many factors; launch titles, proposed features, future game announcements/exclusives, technological specs, etc.
I will pick up an XBOX at 99, maybe even 129 and a PS2 as well if it hits that price point. Especially since my financial situation will be much better by then. With all the cheap games around it pays to be able to get in on all the good game deals for all the systems. Now the question is do I start buying games now for the XBOX before I purchase it (like I did for the GCN) or do I wait.