Now, we've seen all the comparison video's on GT and we know that there will always be comparisons with games on both platforms, but where will it go from here on in?

Argubly the 360's 3 best games overall techically have been Gears of War, Bioshock & Mass Effect (please amend if you feel the need), but just how far as the 360 come in terms of graphics and overall technically with it's games since it's introduction in November 2005?  Is Mass Effect that big a jump technically from Gears of War?  And then you have the technical issues surrounding Mass Effect (dodgy framerate, bad texture popin etc).  Just how far can the 360 go?  I'm not one for deciding or proclaiming what the 360 can and cannot do, but will it take for the release of Gears of War 2 to be released for us to realise how far developers have come with the hardware after 3 or more years?

Now onto the PS3, technically, Uncharted is up there as the best on the PS3.  It was in development for around 18-24 months in total and certainly is a showcase for the console.  So how much further can the PS3 develop?  Well compare Resistance with the supposed inscreen shots of Resistance 2 (due to be released later this year), this demonstrates the difference in 2 years.  Will Motorstorm 2 show similar advances?

Overall, there have been great games technically on both platforms and up until recently the 360 has led the way on all fronts, but now with the dawning of the developers (they are now working out how to use the PS3), we are now seeing near identical multiplatform games.  The only downside of this, is that developers are not moving technically quite as fast as the 1st party developers (this is evident on the PS3 moreso that the 360).

In addition to this, there lies one question?  Is there room for bigger advantces this generation compared to last generation?  We've seen over the course of the PS2 lifespan some huge fundamental changes in the complexity and look of games, can this happen again this generation or have we reached a cap already?

Also, will the market be flooded by samey games all using the same engine and they will look and play the same on both platforms and will these games start becoming noticably technically inferior to the 1st party games arriving on each platform?

In one final question?  In your own opinion, going on what has been released and what is due for release, what system looks to have the more room for improvement?

Answer away!! 

360 will be the main development platform for 360/PS3 titles in 2008. Resulting in the games looking (nearly) identical.

But i think it is evident that the PS3 has (a little) more power then the 360... (Maybe not really noticeable for some games on 360 because of smart developing or art-style but still, a little more raw horsepower for PS3)

When (if?) PS3 starts frequently outselling the 360 because of whatever reason (could be Blu-Ray picking up steam or something else... I don't know a.t.m) then we can slowely (but surely) start seeing a shift between the main development platform. By that time, the difference in userbsae (quantity) won't be that much appart.

With the PS3 eventually(?) as the main development-platform and developers unraffeling the secrets (=possibilities) of 'The Cell' and its architecture we could see multiplatform games looking slightely better on the PS3 as opposed to the 360 version.

Think PS2 vs Xbox or something like that.

Owyeah, just wanted to add: Eventually, the space available on a disc matters! People can whine all they want about DVD-9 being big enough! People said the same about CD to DVD ('Who needs 4.5-9GB...?! is what they said back then')... But that time will come! And that time is near!... So the fact that the PS3 has Blu-Ray support in the box is gonna proof to be a (big?) plus in the comming 2-3 years!... 

i think the 360 has come a long way but has or soon will reach its peak when it comes to graphics, the PS3 has not yet peaked nor will it for some amount of time.

The best technical piece i've seen on consoles this year is Call of Duty 4, and it's third party. I think the third party developers have the resources to create graphics on par or better than first party offerings. Just remember that Mass Effect is made by Bioware and they've now become a third party.

Most games will in the future use tools like Unreal Engine 3 to create their games. This is how they can cut down on development time. The engine can create some brilliant games, and pushed in different directions can result in games that look and play nothing like each other.

 Also look for the smaller third parties to keep getting swallowed up by the big boys, or expect more mergers. Activision Blizzard and EA are only the beginning. Just know that EA has a minority stake in Ubisoft, and after Assassin's Creed, is thinking of buying them outright. 

As far as which console makes prettier games, i'd say they are neck and neck right now. PS3 is "supposedly" superior, but the proof is in the pudding, and they haven't proven a damn thing yet.