We were mere feet from Messrs. Mattrick and Wada as the two execs wrapped up the Microsoft E3 2008 press conference with a bang. I believe Leigh's words, at the time, were "HOLY SHIT!" when it was revealed that Microsoft had chipped away at the PlayStation exclusivity armor and Final Fantasy XIII was announced as an Xbox 360 release (in North America and Europe). There was laughter, tears, applause and so much more. We'll never forget we were there.
@Smadubaku: If GTA4 was announced as exclusively for the PS3 at any point, then announced to be multi-platform, this would have been a good analogy to make. However, GTA4 is a multiplayer game with predecessors that have been on a Microsoft platforms before (both XBox and PC) so it wasn't a big loss for Sony since people expected it to not be an exclusive on top of the fact that if a game is multi-platform and has online multiplayer, the 360 will always win thanks to Live support.
FF13 is a single player Japanese RPG. If Blue Dragon is any indication, the audience that owns a 360 and wants to buy this is probably incredibly small compared to the audience who owns a PS3 and wants to buy this.
We'll see what happens when it gets released, but this was supposed to be Microsoft's bid at selling 360s in Japan and they lost that opportunity, which is why I really lost any excitement I once had over the announcement.