One thing I forgot to mention about Microsoft. Their current PR tactic seems to resemble their “innovation” argument from their anti-trust days.
Now that they have backed down from their DRM and required internet connectivity stance they are claiming to the public that they have to cut all these cool new features that they had planned because the public was not being fair. e.g. Cloud services, digital game portability, etc
Now if I remember the press conference correctly they said that they were creating server farms with upwards of 300,000 servers to support some of these features. 300k of hardware is a lot of money, even for the Microsoft gang. I have a hard time believing that they will cancel this huge order or dramatically change strategy based on a weeks worth of discussion.
If you are monitoring internet forums post announcement you will also see an army of people blaming the public (with name calling and curses) saying that it is our fault that they won’t get a next gen console. (Apparently anti-consumer tactics is how they define next-gen) These posts seem remarkably consistent and these sentiments were non-existent a week ago. I am getting a suspicion that Microsoft may be raising a little army of sock puppets to defend their cause. Note that this is just an opinion based on gut and experience. No real evidence, I’ll leave that up to the investigative types.