I'm sorry, but I am going to have to disagree with everything here.

The graphical leap from the third to the forth generation, and fifth to sixth generation were both much larger than what we have seen this gen.  We hit a point of diminishing returns with this generation.  Games really don't look that much better than the previous generation.  Even the leap from the fourth to fifth gen was more technically impressive, even though the graphics have not aged well.

In terms of gameplay, there have been very few changes between this gen and last gen if you are talking about the 360 and PS3.  Unless you are talking about Kinect and Move.

That is just not true.  When is the last time you played a N64 or PS game, and a GC or PS2 or XB game?

When you go from a model that is a few hundred polygons, to one that is a few thousand, there is a big difference.  But at some point, adding more polygons does not change much.

There is a point of diminishing returns.  More polygons is not the only way to improve graphics, and many games this generation have used other techniques like improving the lighting.  But nothing as drastic as moving from the blocky charaters and blurry textures of the fifth gen to the smooth graphics we saw last gen.  Yes, the pixel counts and detail have increased this gen, but look at this:

Madden 2001

Madden 2002

Because the average person isn't interested in anything beyond Madden, Halo and Pokemon? Sorry but the Saturn had the Radiant Silvergun, Panzer Dragoon Saga, Guardian Heroes and Dragon Force. A truly amazing system that is criminally underappreciated by the slack-jawed masses.

ill be sure to contact you when i am in need of some games to play on my saturn, because i have zero so far

Most of the big multiplatform games in the 5th gen I discovered on the Saturn. I first played Tomb Raider, Resident Evil and Pandemonium on the Sega Saturn, they were brilliant games. Don't forget NiGHTS into Dreams, that game was a classic, Sonic Jam was awesome too, even if it was a collection.

5th, 6th and 7th gen (PS1, PS2 and PS3)

I voted fifth gen but it's difficult as I mainly game on PC and there aren't really generational gaps.

Fifth gen on consoles was a revolution though. Developers were starting to get to grips with building games in 3 dimensions which meant lots of new experiences that were just not possible before. It was a true revolution. 6th and 7th gen have been more refinements and evolution of lessons learnt in the 5th gen. It's also the first gen where games started to become more cinematic with games like Half-Life, Metal Gear Solid and Final Fantasy VII. Sports and racing games also started to show rudimentary simulation of real-life (Gran Turismo, Fifa, ISS Soccer).

I was never a big fan of NiGHTS into Dreams. I found it to be far too short and I hated the fact that there were no check points before the boss battles.

I never had any problems with it, I was never bothered by its length or checkpoints. I just love it for its gameplay, it's one of those games that I can just pick up and play, without worrying about losing or dying.

HD isn't magic that makes games look better.  All it is, is a TV that displays more pixels.