This is an interesting article on why Microsoft should cut the price of the Xbox360 before the PS3 introduces its exclusive games in Q1 2008.
They have a second advantage in that the 360, whilst technically as capable as the PS3, is relatively economic to manufacture. This is something Microsoft have put a lot of effort into. So as their AAA exclusives advantage reduces, then their ability to use the price mechanism will come further into play. Especially as Microsoft have lots of money in the bank.
Judging by this list I'm not certain that this AAA exclusives will be Halo 3 type of games that are able to push out PS3s by the truckload. I agree that Metal Gear Solid 4 will be a console mover but that game doesn't come out until Summer. PlayStation Home won't be something you go out and plunk down $400 for and FF XIII may not be out in 2008 at all.
The other exclusive games on this list aren't very well hyped since I haven't heard of quite a few of them. So this MSFT opportunity may not be as big a deal as this guy makes it out to be. However, I think reducing the price and at the same time bundling GTA4 with a branded Xbox360 sounds like a great idea that might really move some consoles out the door.
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