People need to stop this favoritism of the different consoles. I have all three and I know that each serves a purpose. For hardcore gamers the Xbox 360 is the best thanks to better exclusives and a better controller, however the PS3 makes up for that by being the best media center solution on the market, and still one the absolute best blu-ray players out. The Wii is so simple and refreshing that it really puts a smile on your face when playing with the wiimote. It all comes down to your needs, the console that is best for one is not always best for the other, it might not fit their needs like it does yours. I use my PS3 the most for movies, but I prefer most games on my Xbox 360, while I love to setup my Wii for the neighborhood kids to play.
If you want the ultimate gaming, media, and diverse device then a gaming PC is the ultimate. However, as many of us know, it comes with a hefty premium that isn't necessarily worth it to most people.
I love the price competition because it is going to make my Christmas shopping real easy, though it has been needed for a long time.