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I completely agree with FayeC. Entry price is the single most important factor. While on the long run, 360 may cost more, very few consumers will ever calculate the total cost over year.

Great point about content too. Having some of the old PS2 franchises on it helped a lot increasing the 360 value.

The other exclusive franchises the 360 couldn't take - Sony PS3 exclusives - are the reason why some people decide to pay more and choose PS3 over 360 or own both, much more than the power or the features of the console.

If Team ICO games, GT5, Killzone 2, MGS4, LBP, GOW3, Uncharted, Ratchet, Resistance 2 and some more great games were playable on 360 too, nearly nobody would buy the PS3 if that's not the same price as the 360. But they won't ever be since Sony owns the IPs and most of the studios.