If you asked me this question in 2007 I would say 360, but now, I think the PS3 is the better buy. The games are just so appealing; Killzone 2, Uncharted 1 and 2, the upcoming God of War, Ratchet games, the possibility of Jak 4, Little Big Planet, Resistance 1 and 2, MLB 09: The Show, and of course, everyone's favourite, MGS4. The library is packed with games and whoever says the PS3 is lacking in games is totally wrong.
The 360 is also solid; Halo is my second favourite series ever, and Gears is pretty good as well; but those are the only two mega exclusives on the 360; the PS3 has about 6-7 games that can be classified as mega exclusives. Plus, the online is free, so it's definitely a great thing and the 399 eventually pays itself off since u wont be paying 60 bucks a month with the 360. I say wait for now until a price drop is announced, but if you're really desperate, go with the arcade console for 199.
