I don't mind the XBox, and I think XBox 2 will do well. But I don't think it will touch the PS3, especially in Japan. The people who are just assuming that because ... well, Sony's been dominant so long that they should maybe let someone else ride the merry-go-round for pity sake .... well its just that line of reasoning I don't agree with.
I think actually a lot of the XBot faithful on this board will jump ship if (well when) they see PS3 is considerably more powerful and a true HD console with the Blu-Ray format.
It's easier for Sony to pick Microsoft apart (make a stronger console, get some good FPS and really its probably curtains) than for Microsoft to pick Sony apart. I don't think that's an unreasonable analysis of where the companies are at going into the next generation.