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At an event showcasing upcoming first-party releases, corporate VPof Microsoft Game Studios Shane Kim said that 2008 would be an evenbetter year for the Xbox 360.
"What we're really trying to communicate is that this is going to be another landmark year for Xbox 360," Kim told GamesIndustry.biz and our sister site Eurogamer.net.
"Mainlybecause we are really focused on the strategy of tremendous exclusivecontent. Titles like Gears of War 2, Fable 2, Banjo, et cetera. as wellas the continuing leadership we have in the online space with XboxLive."
When asked to clarify whether the Xbox 360 or thePlayStation 3 was winning in Europe, Kim said that it was a "horse raceno matter what."
"I understand that Sony has declared leadership already. We'll let the data speak for itself," he replied.
Notingthat Europe has historically been a Sony stronghold, Kim said that anyprogress the company was making there is great progress. He pointed tothe increase in console sales as a result of the recent price drop aswell as data showing a larger amount of GTA IV sales for the Xbox 360over the PS3.
As for the 360's showing in Japan, Kim was under no illusion that the race was close.
"Look,we've acknowledged for a long time that we probably wouldn't win inJapan and that it was going to continue to be a tough market for us.
"Wetook some different steps in this generation - our partnership withSakaguchi-san produced two very well-received and critically reviewedtitles in Blue Dragon and Lost Odyssey. Unfortunately, it remains adifficult market for us."
Even so, he thinks that in the long run the company will see more success in Japan.
"I'mnot going to go out and say our hope is to win in Japan because that'snot realistic. Do I think we have room for progress and improvement? Iabsolutely do.
"So, no, the battle is not over."