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Like many publishers, console manufacturers, and retailers,Microsoft is looking forward to a big boost in sales next year andexpects to sell even more consoles than in 2007. But in an era in whichconsole dominance is a region-by-region struggle, the Xbox 360's nextbig battleground is Europe, where Sony's PlayStation brand has aparticularly strong foothold.
"Europe for us is still the swing," said Microsoft VP Jeff Bell in a recent Reutersinterview. "The biggest challenge is that Sony as a brand has hadgreater staying power than in other areas. Not just PlayStation 3, butSony as a brand."
It's a critical time for the European gaming industry, with yearly revenues growing by 25 percent in 2007.Microsoft is still ahead in the region with a year-plus lead over thePS3, but keeping pace with Sony's ten-year plan could be quite achallenge.