Well, this generation is surely an odd one. What PS3 really hurted is the relatively weakness of the Japanese developers, that made the PS1/PS2 so big: Square-Enix, Capcom and Konami.
Square Enix on PS1:
Final Fantasy VII
Final Fantasy VIII
Final Fanatsy IX
Final Fantasy Tactics (not in EU...)
Vagrant Story
Parasite Eve I + II (Part I not in EU...)
Front Mission 3
Square Enix on PS2:
Final Fantasy X
Final Fantasy X-2
Final Fantasy XII
Kingdom Hearts
Kingdom Hearts II
Dragon Quest VIII
Square on PS3:
Final Fantasy XIII
Final Fantasy XIII-2
Square-Enix concentrated on the PSP and brought FF 7: Crisis Core and Kingdom Hearts: BBS, which were simply awesome. There were also some smaller games like Parasite Eve and I would really like a localisation of Type-0.
Capcom and Konami trying to Westernize their franchises did also hurt.
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