I worked in Game over christmas, so I was asked this question a lot.
Its like Finius said, both are high performance gaming machines. The xbox is better geared to online gaming, whilst the ps3 is a social media hub, with the best blu ray player available. They each have specific titles, such as halo and gears of war and forza vs uncharted, resistance and gt (as an example).
In response to the "faults" yes the original models had a manufacturing defect causing them to stop working, but the new slims of both have ironed out those problems.
Ps3 has the advantage that its games are on blu ray. This is good for games like LA Noir - all on one disc, as opposed to the xbox that has 3. Obviously not a massive deal, but if you cant look after one disc very well you will struggle with 3!
Kinect vs playstation move? I would say kinect every time. Move is a massive improvement over wii, but you are still holding and navigating with a remote. I think kinect has the much greater potential.
Whilst I would agree a high end gaming PC has advantages, such as game prices, there are issues too with the massive start up cost. And its more likely you and all your friends will get a PS3, then you and all your friends will have the money to make high end gaming rigs. Lastly, buy an xbox game, pop it in the xbox and it will work. buy a pc game and stick it in the pc? not so much. You could argue you just need to update bits as they go out of date, why not just buy a new console when it goes out of date?
Thats my opinion anyway. Also, I hate PS controllers, and always have
p.s. 360 slims do have built in wifi