When has the turtle ever won the console war? It's always the hare because the developers follow the hare, which means more games, more exclusives, more consoles sold. Why is Sony stumbling because they ignored the three things that won them the last two console wars.
1. Coming out first, they had a year head start on the N64 and the GameCube/X-Box. This gave them a year to build up their libary and release some exclusive titles. X-Box had that luxury this gen.
2. Lowest cost, it may not have been cheaper when it was initially released, but after a year head start, Sony was able to drop their cost when or just before the competition came out and as a result had a better offer, same amount of money, more games. Wii has the cost advantage, X-Box is close behind and has a better libary.
3. Exclusive games, speaks for itself, Playstation had Doom and Mortal Kombat soon after launch, two of the most popular games at that time and kept on releasing those exclusives and went after more, PS2 was more of the same. Sony isn't going after those exclusives anymore, add to the fact many big time third party games like Rainbow Six, GRAW, Obilivion come out months after they're released on X-Box with no real improvements.