Yes, with more games and price drops, the PS3's sales will increase. But the question is when those factors will happen. 6 months? 1 year? 2 years? And how far ahead will the Wii (all 3 regions) and 360 (America only) be by then? It's well into April now and the Wii is still selling out overall in all 3 regions. The 360 is still selling comparatively well to the PS3 worldwide as well.
The longer it takes for the PS3 "Steam Train" to get going, the more damage it will take this generation, in both install base and 3rd party support. Actually, in the last few months, the Wii's software exclusives have completely eclipsed the PS3 exclusives, and is now gaining ground on the 360's exclusive #'s.
Anyways, I'll go so far as to say the Wii may have the non-core gamer market all tied up for itself this generation, technically only being beaten by the DS. :) The core gamers, however, are still in free-for-all mode, and the Wii is looking to be a great 2nd console for most of them. :)
Nobody is crazy enough to accuse me of being sane.
Essay Pro