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Microsoft exec says Sony stretched too thin

Robbie Bach, President of Microsoft's Entertainment and Devices Division, had more to say than setting us straight on how much the Xbox 360 would cost. Buried in the interview, Bach had a few choice words for Sony. The gloves are off ... even further.

Bach likened Sony's business model to that of the various failed invasions of Russia. According to Bach, Sony has overextended itself in trying to battle the DS and the Xbox 360. He further said that Microsoft -- with a resource chest far greater than Sony's -- would be stressed trying to enter the handheld market.

The overextended statement could make sense; Sony is trying to compete on two fronts using state-of-the-art technology, which is demanding on production facilities and resources. Microsoft seems to have recognized that Nintendo's business model allows them to compete on two fronts and decided to focus on in-home consoles. Would Sony have made a more prudent decision in keeping the PSP efficient and affordable (or not entering the market at all) while pushing the technological limits with the PS3 or will offering two high-technology gaming solutions result in a major victory?