Competition is always a good thing
So we can all argue over who has the best processor or the best graphics card but, at the end of the day, most of us mere mortals are just looking for the best deal to deliver the best quality games and/or films. Let's be honest, who can really notice the difference between the graphics on the 360 or PS3 when confronted by two equally high quality games? We want great gameplay - without that, any amount of pixels or fluid motion is all but irrelevant.
By introducing an integrated HD-DVD Xbox 360 do we not then find ourselves with two similarly spec'd games machines both with great hi-def DVD capability (again we can argue the toss over HD DVD vs Blu-Ray but let's not - both have good films available!). Then it's not so easy for one side to argue why their box is more expensive than the other. This can only help the pricing be more competitive.
Now, if the boxes are 'similar' (from the majority point of view), what distinguishes one from the other - the software! Let's see Sony promote more good quality games and let's see both reduce the prices - come on, £40 for a game that may last a dozen or so hours does not seem like good value to me!
I happen to have a PS3, more by chance than choice (came 'free' with my Projector) but, software aside, I'm more than happy with it. My Xbox has been relegated to the cupboard, along with the box load of games (some of which are unopened, let alone completed - I was a sucker for those reviews). Nowadays I look at the games available (for the PS3), or shortly to become available, and I think, 'maybe I'll wait until they're cheaper.'
If we're lucky and we do see the launch of an integrated HD-DVD Xbox 360 then just maybe the software prices will also have to drop in support of a bit of healthy competition. Maybe that's just wishful thinking.......
And I've been considering buying a standalone HD-DVD player to complement the Blu-Ray in my PS3. I think now I will wait.......