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It's because they lost their exclusive game rights (GTA, FF, etc.) so people buy the popular games on the cheap consoles.
This. The PS3 is superior to the XBOX360, so of course it has to cost more.
Since sony no longer has most of their exclusive game rights people are buying the games for the cheaper systems like xbox360.
Honestly, MGS4+MG0 alone is enough to make the PS3s cost worth it. If I don't have a PS3 by the time ffxiii also comes out that's when I'll be getting one.
ps2 used to have the rpg market, and xbox used to have the fps market, but for some reason a lot of decent looking rpgs are coming out for microsoft and not for sony. (Starocean anyone?
)
Sindall sends word that microsoft has been making illegal payments to companies so that they'll produce on xbox360 instead of ps3.