Let me make it clearer: 

THe 360's best year with record numbers too is still not as much as the PS3. And frankly we haven't seen the PS3's best year yet to me. 

Every year is a peak year for the PS3 and I expect it to continue. 

No argument there.  Notthing to do with your previous post, but no argument there......

My previous post stated that the PS3 has yearly peaked in every category, I repeated it again. No console has done so. 

That's cool.  If those are the categories important to you, that's cool.  I thought the PS3 had a better year one year, though.  I'm too lazy to look and it's not that big of a deal, really.  At least I can quit scratching my head, I guess.

No, that's patently false. 

Per Sony's Q2 Financial report:

"...a decline in sales of the game business, reflecting a strategic price reduction of PlayStation®3 hardware in advance of the year-end holiday season..."

There were a number of things that contributed to that division's loss, number three on that list was a decline in revenue from the gaming business as a result of a strategic price reduction.  Certainly #1 on that list were declining sales from the LCD TV division and declining sales from the PC division.  But your statement is exceptionally false and inaccurate and flies in the face of Sony's statements to the Securities and Exchange Commission.

http://www.sony.net/SonyInfo/IR/financial/fr/11q2_sony.pdf

I would call that a site taking one sentence in Sony's financial statement and spinning it for a headline, hoping for more hits.  If you actually read it, it states the main reasons for the losses in bold at the beginning, which are the foreign exchange rate, the flood, and poor LCD TV sales.  There's only one mention of the PS3 price drop later, which leads me to believe it only decreased profit, and was not a major cause of any losses.

The numbers the 360 is putting in the US is simply amazing, but we are overlooking the fact the PS3 is going to be the best selling console of 2011, a third place console too, that's crazy.

The only importance these numbers have is for investors.  Sony "winning" a battle of sales at the expense of profit can be a bad thing if those sales don't reflect long-term profits elsewhere or certainly in this case, can have a negative impact on your overall business.  Remember, Sony is the company whose credit rating just got down-graded because their business financial future isn't so bright.  Now with sales of the PS Vita tanking, and retailers in Japan taking to making their own price cuts just to generate sales for the device, things aren't so good.

Sony elected to issue a price cut on the PS3 believing it would generate a greater amount of sales, however the return on investment was marginal.  They took losses, and they will continue to take losses unless the sales significantly increase due to the price cuts.  But besides sales, they also have to deal with exchange rates, and the flooding in Thailand.  While Microsoft has to deal with these issues as well, the reality is because they have fewer sales in Japan, and they offer a HDD-less model of the Xbox 360. 

Fanboys can sit and pat each other on the back if Sony actually does finish #1 world-wide, but from an investor's perspective it's a hollow victory.  For Microsoft even if they don't make #1 in world-wide sales, it'll be a huge victory.  What they've done in the US with Xbox 360 and Kinect sales is astounding, especially at this late stage of the game.  But Sony paid a price this year for the #1 spot.  Had the price cut generated the sales they expected, I wouldn't have considered it a hollow victory, but given the fact that they didn't do as well as they even hoped they would with the price cut it is.  I can't help that you don't like me saying that, but that is the reality.

Did you read the document you linked? It says decline in revenue, it doesn't say anything about PS3 LOSING after the cut, but producing less revenue and being less able to offset the losses coming from other parts of the business. Obviously if the whole division counts on gaming revenue and profit, to offset losses from TVs, PC and acquisitions, it's obvious that a reduction of gaming revenue and profit will increase overall losses, but it's not the same thing as saying that PS3 is losing after the cut.

THIS. I searched Sony's financial statement too, and I can mostly confirm what you wrote. PS3 reduced revenue caused losses from other products and from acquisitions to be offset less than in the past, but PS3 isn't "producing" losses, it offsets them less than before the cut, but it's a completely different thing. The end result of the whole division losing is true, but PS3 isn't causing losses anymore (except obviously those accumulated before) since it broke even during Spring 2010.