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^sony never stopped doing "hardcore" games though, considering LCD/plasma tv are you sure?
projections show by 2010-12 many of the TV will be HD.
and wii more with motion plus offers the same : 1-1 motion tracking. technically speaking they are the same.
as for games, both microsoft and sony have shown developer support, sony have more studios than microsoft and nintendo together.
they don't have to be the same as the wii, i see the wand/natal as motion control, while it does the same they don't target the "casual" market only like nintendo, though casual people may see it a HD wii.
motion controls 1-1 tracking, some more extra features like better online (xbox live/psn), netflix, may made it look like more advanced.
that in hardware it's huge plus.

@bladeforce: depends on your taste: i never seen nintendo do a game like Ico/shadow of colossus, or a game with a budget value of killzone 2 and uncharted 2.

i love zelda, but story and production values never been as high.

microsoft on the other hand have halo, while not being over top production, it have over the top marketing and they may apply the same for natal.

and both companies are showing a strong third party support?

motion control RE 5? its not what every wii owner wanted?