Is Microsoft Feeling The Pinch?

It’s been a rough week or two for Microsoft. The 360 might be kicking PS3’s arse over in the States, but it’s dead in in the water over in Japan, and Europeans are starting to favour Sony’s machine with it’s built in HD movie player and wider range of games, despite the higher price.

With last week’s E3 not revealing a single new exciting game, and as usual putting all their eggs in the Halo basket, Xbox fans at least expected them to unveil plenty of new stuff at their annual X show, which would be X07 this year.

Except it’s not, it’s been cancelled. Group Product Manager for Xbox, Aaron Greenberg, announced today that ‘there is not a real X07 this year’ and that instead they’ll ‘figure out some way to talk about 2008 sometime’. Obviously not great news for those wanting to see what’s behind Halo 3 (massively trumped by Killzone 2) and PGR 4 (already beaten visually and chronologically by GT 5 Prologue).

Then there’s figurehead Moore, who quit Microsoft yesterday to head up EA Sports as we posted earlier today. We’re not suggesting he’s jumping a sinking ship or anything quite as sensational, but you have to start to wonder what exactly Microsoft have left after this Christmas, with very few exclusive AAA games still remaining, and we’re counting ‘potentials’ like Banjo 3 in there too…

Time will tell, of course, but all this can only be good news for Sony and Nintendo – not that Ninty need any help just now.