There's no arguing Sony's in house has some impressive titles, God of War, Killzone, Shadow of the Collosus, Ratchet and Clank, Grand Tsurisimo, etc.
But sadly it takes more than inhouse games to make a system a winner, the N64 and GC proved that. I think these are good games, but I wouldn't buy a console for them and it would seem the consumer market, to the greater extent, agrees with me. With so many third party developers jumping ship, Sony's best bet for a strong system line up is its first party games and if they keep the course there's no reason the PS3 can't trump the 360 game wise, sales may be another matter though altogether. Only time will tell...