Favorite moment is definitely FFXIII going multiplatform, that was BOOOOOOOOM, MEGATON OF SUPER EPIC PROPORTIONS :D
As for favorite games:
In no particular order
Uncharted 2
God of War 3
Mario Kart Wii
Mario Galaxy
Gears of War
Halo 4
Dead Space
Dark Souls
DKC Returns
Skyrim
Fallout 3
MGS4
What really stood out for me was how (remember, it´s only my opinion) far Japanese 3rd parties as a whole fell, compared to the 6th gen, and how Western 3rd parties really started dominating the console scene.
In the 6th gen, with the success of GTA III and the introduction of the Xbox, Western companies that were mostly confined to the PC started dipping their toes in the console market, but in the 7th gen they really started taking over.
That was one of the biggest changes, imo.