Speaking in an interview with news agency Bloomberg, chief Bill Gates, the world's wealthiest man, has revealed that he doesn't think the true next-generation champion will be revealed until 2007, by which time rival consoles from and will have had time to build their market share. Despite this admission, Gates described the new console as Microsoft's 'hottest' product ever. The original managed to carve itself an 18% market share, but given the investment behind the product, Microsoft must have been disappointed Sony's wasn't given a more thorough examination.

Gates also told Bloomberg that the 'worldwide' launch for the new console, North America last week, at the end of the this week, and on December 10th is the right for the firm's ambitions to lead the market, however he admitted to several difficulties with the strategy, related in the main to supply issues. "For the last six months, we've been on the edge of our seats. I hope I don't get an e-mail saying 'Gosh, processor yields are too low, or this plastic factory burned down in Malaysia, so we'll have boxes but no controllers,'" Gates revealed.

The North American launch was a sell-out on day one, and Microsoft are promising weekly replenishment at retailers for gamers eager for next-gen action. Rival offerings from Sony and Nintendo are out next year, though Gates believes Sony pose the biggest threat to Microsoft's flying start, stating: "We see ourselves having a higher share. We're not going to name some magic number but we're out to give the best gaming experience. By the end of 2007, you'll have kind of a sense of how much did Microsoft increase its market share: dramatically, not so dramatically, did Sony mess up, what happened?"

What remains key is the Japanese market, where a confident debut is by no means assured. Indeed, even Europe remains a tougher prospect than North America, without the advantage of a home-turf fanbase to be relied upon. More soon.

By Luke Guttridge