The Outcome

Jack Tretton was correct in his sentiments.  It is definitely far too early in the game to start claiming a winner (and let's not forget that Microsoft is still there and going strong, especially with the impending release of Halo 3 and Windows Vista which promises easier interfacing of the 360 and PC - something that is pretty easy with Windows Media Center already), but the handwriting is on the wall and Sony had better start reading it. 

The coming year will be the true test.  Sony needs to start getting a lot of things right and hoping that Nintendo reverts to their familiar pattern of getting things wrong.  At this stage, however, that doesn't seem likely to happen.  Nintendo rolled the dice with the Wii and it seems to have come up seven for the company while Sony is constantly betting the hard eight and losing chips by the handful.