When the PS1 launched, its launch titles didnt vastly over power the SNES' best titles. I mean Mario RPG and Chrono Trigger looked better than games like Gex and Alundra. Riddick, Doom 3, RE4, Rebel Strike, they looked just as good as some launch 360 games. Now if your judging end era ps1 to SNES then yes its no comparison, as well as current era ps360 titles to to end era xbox/gc, there is no comparison, but in the beginning it is never a massive leap. I've been gaming since the end of the NES era, this is how things usually go. 2nd gen WiiU games will crap all over the current 360 PS3 line up. Im sure of that.
And on a sidenote, everybody talking about how Sony is some power monster in the console department, you are aware that the PS3 is the 3rd playstation home console right? The first 2 were the weakest in there generations. Sony tried the power move once and it was 600 dollar mess at launch.
That's not quite true. PSOne launch games Ridge Racer, Wipeout, Tekken and Battle Arena Toshinden destroyed SNES FX Racing, and Killer Instinct in the technical department. Same goes with N64, Mario 64 was technically far superior to anything on the 16bit consoles and they were all launch games.
A better comparison would be comparing Half Life 2 or Burnout Revenege on last gen Xbox/PS2 to this gen 360 versions of which they were first or second gen games for the latter. The differece is clear.
In fact until the Wii and Wii U came along, next gen was always vastly more powerful then the gen before it.