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Sony will release the PS3 before we ever see anything new from either Microsoft or Nintendo. Hopefully Microsoft won't give them over an entire year head start like they did with the PS2. It would be a very interesting battle if they both were released as close as the Gamecube and Xbox were ( 3 days apart ). Especially with Microsoft having a little console experience under their belts and hopefully without name recognition hurting them anymore.
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I dont think M$ is going to make the same mistake they did with the ps2 i believe that both consoles will come out at realitively the same time. The GC however i doubt they will make another console as they dont seem to be doing to well compared to the Xbox and Ps2