I have played the Xbox and it was fun and fast but I have read about problems with quality.

PS3 is good but not that many good games yet.
It can play most of your PS2 games,
has slots to plug directly in Memory Sticks from your camera,
has easily networked by wifi with our computer (sharing music and photos),
is a quality high definition Bluray disc movie player
was good for audio chat with a friend with a PS3
can be accessed remotely using my PSP.