It's doing fine.
3 good things for the PS3 that are about to , or recently happened:
-PS3 is getting the Netflix icon, so people can really use netflix now, without the dvd thingee. That will add to the PS3's powa!
-PS3 is increasing revenue from its PSN service
-The same division that has the PS3, the networked services division of Sony, is now offering the Qoricity service on TV's, dvd players, laptops, Sony's walkman, etc as a way to sell additional movies and music to customers. By marrying the electronic devices with the service, Sony is getting a high profit margin service to sell, and is already stealing market share from the Ipod.