That's actually quite easy, because we have a real-world example of what happens when PlayStation fails to compete. It's called the PlayStation 3. Microsoft took full advantage of Sony's litany of absolute blunders in the first half of that generation, and shoved Sony up against the nearest wall by their fucking throat. And what happened when it all went bad for PlayStation? Sony turned its first party studios into an industry leading powerhouse and fought back tooth and nail, giving us the legendary "It only does everything" push. PlayStation doing bad directly caused the second coming of PlayStation because, heading into the next generation, Microsoft was riding high on their arrogance and Sony were hungry to compete. The entire industry figured Microsoft had next-gen in the bag before it even started. Despite their successes in the late-PS3 gen, Sony as a whole was seriously bleeding. Desperate, Sony stepped back into the ring with the PS4: a cheap, powerful piece of kit that absolutely delivered. Hit after hit, smart decision after smart decision, win after win. Things going bad for PlayStation forced PlayStation to do better, so, things going bad for PlayStation seems to be a good thing for PlayStation, oddly enough. Sony doesn't need protecting - they need competition, or they'll end up making another PlayStation 3.