Dante said:
You really don't have to beat the competition to still be successful
Case in point: PSP.
I mean is it really that threatening to you guys for the PS3 to have some userbase?
As already said, limited userbase means that every game has reduced potential to sell decently. In particular: small games will probably have a little benefice, because PS3's owners are very hardcore and since now there are not so much to buy on PS3, every "good small game" will sell decently.
If you have nothing big, you're happy with small things.
But big games will suffer tremendously, because the userbase is a BIG limit and the attach rate has limits either. You cannot pretend to have an installed base of less then 1.5 millions and see FF XIII sell more then 1 million (and for a FF it is just a ridicoulous score).
That's why BIG games have high probabilities to become multi-platforms.
The problem with PSP is always the same: good (recently very good) hardware's sales and poor (or not enough good) software's sales. One thing: it is ALL Sony's fault, to not have backed enough a handheld with great potenatial. PSP Slim gave a amazing boost, but FF VII failed to reach a million and now PSP is going ahead "thanks to the recent boost and the wind !".
In other words, the fuel is finished: Sony used ALL of it to make this spectacular boost and now almost nothing remains. And this "almost" is not for the short term.
The handheld seems to be able to keep its hardware' sales (~50-60k), but, again, for how much ? And software is always what matters more then all.
We'll see. PSP's future is one of my biggest unanswered question, because it looks bright and bad at the same time and I don't really know if the former or the latter will prevail.
PS3 is another story: until now a failure. Possibilities to gain momentum: always less and less. Too much time passed and there aren't enough exclusivities and the few that will come are each one very distant in shipping times.
Again, it is the syndrome N64, but with bad software's sales in comparison. Sony has not the grip that Nintendo has with its titles on its consoles. And
this Sony should have thought about too.