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As a person who's owned both at some point, I can honestly say that Xbox Live is superior to the PS3.

I've been told by people on here that 360 is Peer to Peer and PSN is a server. Well, I ACTUALLY PREFER PEER TO PEER.

As an Australian gamer, I've been in multiple matches in CoD4 where the host is american (or another country) and all the other players were Australian (unlucky Australian gets into the room, game adds every other Australian looking for a match just because that person is in that room). So we end up with a match of all reds and 1 green. That never happened on XBL.