It's not really a matter of which one is better. It's a matter of which console is smarter. The PS3 would win that battle, definitely. But, from what I've seen, they're both pretty much the same as far as the games that some third parties make for both consoles. But the PS3 can do SO much more, even with games that the 360 has as well. You can surf the web witht the PS3, you can download videos from the internet, you can access your PS3 with a PSP via the internet for remote play... And what do you get to do with the 360? Download demos! Whoo hoo!! I mean you can watch videos on your hard drive and jump drives and what not, on both but the 360 is lacking what people expected from it; and Sony just took it and put in in their console.
It's not better. Just smarter.