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What does he mean by 'Parity/sim-ship'?
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Well the "Parity" part is Microsoft's parity clause. Apparently Microsoft offer indie developers free dev kits and free engines to ensure lead release or first day release. Although it seems to be not much more than what the other platforms are offering - without the "or else" bit.
So since Oddworld got that PlayStation stage show time at E3, PS got a 30 day exclusivity in return. Which goes against Microsoft's parity clause for indies. It seems to be a pretty controversial issue. You'll find more developed arguments in various comments sections.
That's what I gathered anyway.