I agree with what he states when he refers to the real rivals to the XBox are gaming devices that everybody already has right now and is selling millions of PER DAY – the smartphone and tablet market. They’re powerful and have dedicated GPU’s, they’re entirely integrated, they’re multi-functional, they’re portable. Nobody wants to carry yet another device on the road.
“Microsoft is living in a naive dream-world. I have heard people still there arguing that the transition of the brand from hardcore gamers to casual users and tv-uses was an intentional and crafted success. It was not. It was an accident of circumstance that Microsoft is neither leveraging nor in control of. xBox was for years the only network-connected HD-ready device already attached to tv’s that had multi-use potential (games, DVD, Netflix) in the household to justify and amortize its high cost of purchase to the family’s bread-winners.”