Price wasn't PS3's only fuckup. The marketing and communication surrounding it was a total clusterfuck for the first few years, and multiplat games looked and played significantly worse on it than on 360 during the same time period.
PS4 and PS5 had none of these issues.
This feels like "internet history" instead of real history. I remember PS3 had a coolness factor when it was released. However, it was too cool, because it cost way too much. Also PS3 and XBox360 games looked and played basically the same. This was mostly a disadvantage, because the PS3 cost more.
I do believe that XBox360 had a better online service at the time, but I wouldn't call that a fuckup by Sony as much as a smart move by Microsoft. Also, playing on Series S and/or Gamepass is cheaper than the PS5 route, so PS5 does actually have a cost disadvantage this time around as well. PS5 strategy is pretty similar to PS3 strategy. This could easily lead to a similar result. It's really too early to call at this point.