i am enjoying reading this as I was asking the same question about 4 months ago, Here was my conclusion
Graphic and gaming wise the mere mortal is not going to see any difference between the two of them.
Online gaming is free for the ps3 but the xbox online is much much better less lag and better options with the xbox live (thats from ps3 owners too)
The xbox is cheaper for games and console
Only the ps3 has blueray
The biggest threat I found with Xbox was the Red ring of death problems, But speaking to lots of people and shops I personally had the feeling it was a problem more of the past with the older white models. Also how you treat your box and where you put it. Also the ps3 has its issues but seems to go under the radar more.
but the biggest thing that I found was all the opinions were VERY bias ...if your a SONY man you are to you die and the same with XBOX ...It was very funny like a big EGO battle

. I think you can get sucked into the specs and which is the better etc but really your not going to notice.
I went for the xbox mainly because it was cheaper and wasnt interested in the blueray. Love it and have had no problems with it. Fully aware it needs air to breath and always keep it in open areas where its not going to get built heated up situations (like a tv closed cabnet). I am sure I would of been just as happy with a ps3 too
oooww another pull for the ps3 was it gets more named licensed games again not something that bothered me too much.
Cheers
