Why not just spend all that cash on a bunch of new Wii games? You'll get around 6 of them for the price of a 360. Just reserve all the ones you want.

Yah it all boils down to personal preference, if your looking for a cheaper GAME system I'd go with the the 360 at the moment but come this season in fact both platforms will have some very kickass titles, I'm already starting to see the ps3 bloom outwards into its diversity in games so the selections only going to spread from there. But as I mentioned earlier the 360's got better titles out now (ranking wise) I'd say if you would just wait a week or so and save up 100 bucks more you could get the BC PS3, and as you mentioned you have a 42 inch plasma, believe me your TV will love a PS3, I know my friends does :D

It really comes down to the types of games you want to play. What are your favorite types of games? I chose the 360 this past May because there were games on it now and games coming in the near future that I wanted to play. The games I'm interested in on the PS3 aren't coming out until next spring. I'm primarily interested in KZ2, and LBP. Tell us what kind of games you want to play and it will help...

As far as RROD, if you get one of the newer units that is labeled with an HDMI port, you are getting the latest hardware and I doubt you'll RRoD on one of those. That will also give you the best picture on your 42"...

I would also add this little bit of food for thought.  I'm a cheap ass when it comes to buying games.  I HATE paying 60 bucks for a new title.  I look for used or stuff that has been out long enough to be marked down.  Since the 360 has been out a lot longer there are a lot more budget games.  There are literally dozens of games that are 20-25 bucks used and new at gamestop plus any of the backward compatible games from the original xbox.  Halo 1 and 2 are a must, of course....   

I cosign with everyone saying it boils down to games. I wanted a PS3 but played the Call of Duty 2 demo on a kiosk and had to have a 360. I waited for the second batch of 360s to come out - like March, April - and bought one. I picked up a Wii a few months ago and love both, though I still game more on my 360 - my wife, a nongamer, loves the Wii.

I wouldn't get a PS3 until it hits $300 AND has some killer titles. I think Resistance and Motor Storm look good, but I would rather wait it out for some sweet exclusives. Right now, I am more impressed with the 360 lineup and I love Live (you can buy a Live subscription off eBay for just $30 - barely $3 a month).

I would definitely recommend snagging a 360 bundle over the holidays. I'll just sit and wait for someone to sell the bundle titles on eBay or craigslist.

Just look at the games that are gonna come out for the ps3 and 360 and see which one interests you the most.

just look at LIST of games for ps3 and x360.
which you care more about, that console buy.

in the end all it`s matter are games. =)

For me it was easy, I have no interest in games like MGS4, GT5 or FFXIII but must have Mass Effect, Fable 2 and Too Human... I wouldn´t worry about RRoD anymore so I don´t see why someone would´t like the 360... if you need some of the PS3 games then you´ll have to figure out if they (+BlueRay if its a factor) are worth the extra money...

No one has pointed out that the PS3 plays BR discs. One of the big selling points to me for getting the PS3 was the fact that I have a big HDTV and wanted to see it in it's full glory and thus the built in BR player makes a lot of sense. I wouldn't buy the 40GB model, I saw the 60GB model getting blown out at Sam's Club for $460. Along with the 5 free movies, it's a good deal just as a BR player. If it's purely about the games, get the 360 but be prepared to shop to make sure you don't have the older h/w. However, I have seen reports of even the falcon chipset RROD. MS' quality control seems to be pretty shoddy, but at least they have the 3 year warranty.

I own both and enjoy both...but I like the ps3 better...it can do so much more than just gaming for so little more money. (I own 45 blu-rays and can't even stand to watch dvd's anymore--even upscaled there is no comparison).

Anyhow, I prefer the "type" of games the Sony brand is known for getting too...although, it's not apparent yet on the ps3 (been out a year less than the 360), but it will be soon.

If you like RPG's and quirky games get a ps3, if you like FPS & American games, get a 360. That simple...neither is a poor decision though.

If you have a PS2 and want to play games on it, do not even consider the 40GB model. One of the coolest features of the other PS3s is the ability to upscale your PS2 games. It works great.

With that said, I prefer my 360 by leaps and bounds over my PS3. That may change next year when the PS3 starts rolling out their AAA lineup but even now, you have two years of back catalog to play on the 360 (at least 10 games worth playing, probably more) while the PS3 has R:FoM and Heavenly Sword. You can rent a PS3 and beat them both in a weekend. There are other games out there, just not much that has impressed me thus far.

Take a look at the games and then decide what is best for you.