Nintendo will be doing the same exact thing next generation at which point every Nintendo apologist will go from swearing how HD development is resulting in the death of the industry due to higher development costs, to how "Nintendo does it again!" when they release a HD console of their own that will presumably produce better visuals than the current HD consoles at a $299 initial MSRP due to lowered component costs, capable of producing what should be a pretty modest (by current PC standards) 1920x1080 resolution @ 60fps.
As for this whole putting graphics before anything else in games; BS. We've all seen a literal Blue Ocean of crappy titles on the Wii that were just plain lousy games in addition to looking like just plain lousy games.
As far as I'm concerned, MS and SCE simply went with what was to be the current standard in visuals for games. It was only Nintendo that shorted on hardware specs in the interest of producing a low priced console they could sell at a profit from day 1.
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