I would say the ps3, as it more upgraded than the x box 360. The ps3 also has better hardware and other stuff like that

The PS3 is black so it runs faster.

Instead of wondering which one is better, I bought them both.... and a Wii. ;)

Ps3 no contest.

360 has some upside but no where near upside ps3 has,

Ps3 has blu ray player built in. 360 has dvd. Not only can the ps3 play blu ray movies, but all games are made in blu ray. This allows 50gb of storage vs around 10 gb on dvd.

Ps3 has free online, 360 costs $60 a year. The 360 has cross-game chatting but that is really the only thing you get that is not on the Ps3.

Ps3 has a built in web browser. You can access any website on your Ps3, 360 only has Facebook, Youtube, etc

Ps3 is much more reliable. 360 is infamous for its "red ring of death" even with the new models there are still problems.

Finally most importantly the games:

Some of these are not released yet but announced.

360:

Halo 3, ODST, Reach (First Person Shooter)

Gears of War 1,2, and 3 (First Person Shooter)

Fable 1,2,3 (RPG)

Left4Dead 1,2 (First Person Shooter, Horror)

Forza 1,2,3,4 (Racing)

Not much variety, mostly First Person Shooters.

PS3:

Uncharted 1,2,3 (Third Person Shooter, Action-Adventure)

Killzone 2,3 (First Person Shooter)

InFamous 1,2 (Open World, Superhero)

Resistance 1,2,3 (First Person Shooter

LittleBigPlanet 1,2 (Create, Share, Play)

ModNation Racers (Racing, Create, Share, Play)

Gran Turismo 5 (Racing)

Metal Gear Solid (Stealth, Action)

plus more like

Heavy Rain

MAG

White Knight Chronicles

Final Fantasy 13 Versus*

MLB the Show Series

Much more variety in Ps3, and also the graphics on PS3 exclusives are much better than 360's

I would have to say that the ps3 is a lot better because we have free internet and online. I would rather have free online than rather pay $60.00 a year for online. That's a game you could buy right there with that money. Plus we have some games that Xbox doesn't like God of War 3, Uncharted 1, 2, 3, Killzone 2, 3, Sly 1,2,3, Metal Gear Solid 4, Heavenly Sword, Heavy Rain, InFamous, InFamous 2 , and Twisted Metal. Also we have Bluray and Bluray makes the games a lot better graphic wise and also if you want more than 1 game on one disc bluray could do it. Also I would rather have a bluray player built into the player rather than buying a bluray player.