I own both systems, recently bought a PS3. I must say the only huge difference in the two is that PS3 has blue-ray player. As Jin said most games are multiplatform, so you don't have to worry about it. The graphics are damn near the same, PS3 has a slight edge over 360.
I have to go with 360, but that is only because I like Halo, and Gears. Play em all the damn time, and they are for 360 not PS3.
Send it back to microsoft as a manufactoring error, thats what I did when mine got the red ring of death...
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