I think you've been getting a lot of misinformation here NJ5! 
I'll do this with the 1-2-3 method.
1. Windows 7 + Direct X 11 gives you multi-threaded rendering and a better threading model for the operating system. More threads = better, always! So don't bother with X2 CPUs and don't bother with a slow CPU. This driver model works on recent Nvidia hardware even if they can't implement the hardware features.
2. To run at 120 FPS you'll need a powerful CPU and GPU because you're always limited by your lowest denominator and the higher you push your framerates the more you're likely to run into a CPU limitation. An HD 5870 is CPU limited in many instances by a Core i7 overclocked.
3. Console ports from the Xbox 360 can use between 3-6 threads so plan accordingly. RE5 for example loves more hardware threads and absolutely creams on an i7 processor. Expect them to use more threads as time goes by.
4. The 965 Black edition was recently with a product code of HDZ965FBK4DGM http://www.guru3d.com/article/phenom-ii-x4-965-be-revision-c3-review-test/ which has a 15W lower TDP. Now AMD and Intel TDP are not comparable directly but overall it shaves 15W off for power consumption.
5. You may be better off looking at an SLI style system and hooking up two GTX 260+ GPUs as the games which implement 3d properly are likely TWIMTBP titles and therefore will scale well with SLI. Remember that SLI hits you with a CPU penalty so plan accordingly.
6. My reccomended specs for a 120FPS performance PC is Core i7 with the X58 chipset and two GTX 260 216 GPUs in SLI OR one GTX 295 if you want to build now.
7. oops I messed up the font. Anyway with the general purpose compute and new design the Nvidia Fermi GPU (GF100/GTX 300 series) they may implement 3d more efficiently on a hardware level so you don't have to render the game at double the framerate.
Tease.
