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Is online going to continue to be the place that Xbox rules?
Online is going to be doable on both consoles, but Microsoft now has to step it up and say "We said online would be our competitive advantage, and now we're going to show you why."
Microsoft has to create brand new entertainment that exploits online in ways that the other guys won't. I think MMOs are something that Microsoft should have pushed as a difference between it and Sony, but it didn't invest. And if you look at Sony Online Entertainment, it's the leader in that area. If MMOs become really important then Sony is placed to lead.
What will be the biggest development in the next 12 months?
Now is the time for what comes next. Conceivably, Microsoft could feed enough new people into Bungie to do a new franchise, but what's going to be Bungie's big game beyond Halo 3? What is Rockstar's next big game beyond GTA IV? What is Konami's big thing after Metal Gear Solid 4? What are the big franchises of this generation? That's what a lot of people want to hear.
The Xbox 360 Uncloaked is currently available for $14.95 from the SpiderWorks website, and you can read Dean Takahashi's blog here.