From the "more good news for the PS3" feed comes a positive forecast by the Yankee Group regarding the pricey console. The analyst group believes Sony will lead in next-gen market share by 44% in 2011, with Xbox 360 taking a close 40% share, followed by Wii with a wee little bitty 16% share. That's a safe projection considering the PS2 sold a gazillion units this last generation.

Also of note, the group believes fewer total consoles will be sold this next go-around due to higher console prices than were sold during the PS2, Xbox, and GameCube era. I thought the industry was suppose to grow? Either way, the Yankee Group also predicted constant Microsoft price undercutting. Next-Gen writes: "Microsoft is 'well-positioned' to cut the price of the Xbox 360 in spring 2007, potentially undercutting the $500-$600 PS3 by a wider margin. This pricing pressure from Microsoft is likely to continue throughout the course of the PS3's lifecycle, according to Yankee."

[Update 1: fixed crappy English in headline]

This article was originally published on Joystiq.

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