“The PS3 is a total disaster on so many levels, I think It’s really clear that Sony lost track of what customers and what developers wanted. I’d say, even at this late date, they should just cancel it and do a “do over”. Just say, “This was a horrible disaster and we’re sorry and we’re going to stop selling this and stop trying to convince people to develop for it”. The happy story is the Wii. I’m betting that by Christmas of next year, the Wii has a larger installed base than the 360. Other people think I’m crazy. I really like everthing that Nintendo is doing. “
-- Gabe Newell, co-founder and managing director of the Valve Corporation.
ETA: Source was Dugg'd, so I can verify validity.