Hmm, usual MS spin...
Funny, this just seems like usual Microsoft late summer spin.
Actually in the UK, there is stagnent demand for 360. Retailers have massive amounts of overstock, there are huge numbers of used consoles in Game/Gamestation, that nobody wants for some strange reason (would you buy a used 360, I surely wouldn't, the new ones are bad enough).
The 360's reputation is in tatters in Europe, with the seemingly never ending hardware revisions, none of which actually fix RROD, the noisy and unreliable DVD drives, are perhaps most importantly, the constant price reaming from Microsoft, for things everyone else gives for free (online, Wifi, both free on Wii/PS3, HDD and Blu-ray both on PS3 for free).
Aside from Gears2, I don't see much else that's a must-have game this year. There are many titles that Microsoft are talking up (Viva Pinata, Fable 2, Banjo-Kazooie, Lips, Scene It), but they reality is, either nobody is actually interested, or they are sub-standard ripoffs of established Playstation franchises.
All I can think, is retailers are talking up the 360, in the hope it spurs on sales, in what is looking like a lacklustre xmas sales period for retail.
Paris, because she is also confused, between what retailers are saying, and what is actually happening.