This sounds like an old hardware company that’s comfortable with its market position. That complacent attitude is out of touch with where the industry and consumer is today. This generation won’t be won over just hardware specs, but who can out-innovate when it comes to online and software. This is the kind of stuff that’s in our DNA, and frankly moves the console war onto our home court.

I’m confident we will outsell the PS3 throughout the entire generation by providing more innovation and building the best and broadest games library while growing our entertainment experiences on the leading online network. With a U.S. install base lead now of more than 7 million units (according to NPD), I can’t imagine any scenario where the PS3 can catch up with us. In fact, even if you doubled the current PS3 sales and Xbox 360 remained flat, they couldn’t close the gap until 2014.