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there's a couple of issues. it sounds like you don't have a lot of money coming in on a regular interval, you're friends are on live and it looks like you're into sports games and first person shooters. you'd probably do well better getting the xb360

thinks to keep in mind:
- xb360 Live service costs money and the ps3 online service is free.
- don't know much about netflix, but I assume that it costs money.
- 40 GB ps3 won't have backwards compatibility so you'd have to invest in an 80 GB ps3
- ps3 has bluray as you pointed out.

good luck. either system will have games that you'll enjoy.