People need to avoid narrowing everything down to after the PS3 price cut. Of course PS3 is selling better since then...it had a price cut! Guess what? 360 will also sell better after it has a price cut (this week). It may not be as big as the PS3 price cut, but it will have an effect.
Look at the big picture: 360 was outselling PS3 before the price cut. 360 will always be cheaper than PS3. 360 currently features a better game lineup than PS3. 360 has a big head start in terms of existing userbase. The only bad thing for 360 in the big picture is that sales have never been outstanding. Still, in the big picture, 360 outsells PS3, and I think that trend will begin again starting with this week's price cut.
Can PS3 turn around eventually? Yes, but I think it's doubtful - the price is always going to be a problem, and third-party momentum has clearly shifted away from Sony. Sudden Blu-ray adoption is Sony's best bet for beating 360 and only bet for beating Wii this generation as far as I'm concerned.
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