No home console maker (excluding handhelds) has ever dominated three generations of video games. None. Is there a 10-year or two-term incumbent cycle in the biz? Game Daily doesn't think so offering an opinion piece on why Sony won't lose the next-gen war in terms of market share. From the article: "Despite [recent] setbacks and all the negative press the company has garnered over the last six or so months, when it's all said and done the PlayStation 3 will be No.1 worldwide, although not as dominant as the PS2 has been."
How does Sony today compare to Nintendo of 1995 who were just about to lose an intended three-peat to the PlayStation? Throw in a third player with a solid second console offering and deep pockets, and it could be a whole new ball game.