Playstation 3 and Xenon releasing at about the same time is a good thing... because then there will be the face off that Microsoft have been wanting. Its finally equal turf, all the new terittories Consoles are moving into are fields Microsoft is master of. Computer Entertainment, Internet, DirectX Powers practically all the graphics in the world... Sony want in on all these things. Windows XP Media Edtion 2005 should be very advantageous on this for Xenon; unless Microsoft can get a good Longhorn based thing for it; with free upgrades to the final programming when it does come out? To get newer features into it which Sony won't have thought of.
It will be interesting with a more all out battle for the Electronic Living Room.