It sells more software because it has sold more hardware. No mystery there.
It sells more hardware because it has managed to create an image among a large group that the Ps3 and 360 do not.
No matter how many price cuts the Ps3 and X360 get, they won't manage to put a large dent into that image.
No matter how many new awesome games the Ps3 and X360 get, they won't manage to put a large dent into that image.
50% (just pulling a number out of thin air) of the consoles are sold by image. The company that makes their machine universally accepted first normally win. Hence the "first to 10 mill always win".
The amount of games you need to maintain this image is far smaller than the amount you will need to overtake it. If you want a paralell, take the self-proclaimed "hardcore" market.
Even if the Wii (although this won't happen) started getting over 50% of the major "hardcore" titles in 2010, the "hardcore" would hesitate to purchase a Wii. Their impression of the Wii started as it being kiddy/non-hardcore, and it takes a ton of work to turn it around.
The image/first impression is the reason for most of the Wii's current sales. Why it got that image in the first place is a completely different discussion, and I'd be taking the thread completely off topic by starting on that.
http://www.vgchartz.com/games/userreviewdisp.php?id=261
That is VGChartz LONGEST review. And it's NOT Cute Kitten DS







