i think sony is going for too much here... trying to make both a killer gaming console and a multimedia machine that can handle all your computing needs. all that really does is jack up the price and distract from innovation in gaming. people that want a cheap computer for applications will just buy a dell or emachines or something that does the same thing and better. people that want/build a killer gaming PC (there are substantial numbers of people that do this... lots of brands... falcon northwest, alienware, etc) already have a great computer that can play the newest PC games... they don't necessarily wanna dish out 600 for another console with a bunch of features they don't want.
I respect the fact that game developers should be focusing on games, as that is their purpose. However, I believe that video game consoles are slowly becoming computers. I envision that a PS4 or PS5 will
be used as a computer, as well as a HDTV tuner/recorder/whatever, and will probably make coffee too. But back to reality, I think the game developers recognize that console "gaming" is quickly going to become console "entertainment". And the first one to the punch is going to be seen as the "innovator", even if every other company is working on the same thing. As AMU stated elsewhere, Microsoft has been working on motion sensing for awhile, but decided against it. Sony apparently has, too. Yet Nintendo shows up and makes the first "official announcement", and all the sudden they are the inventors of it and everyone else copies them. I'm not saying Nintendo is not innovative, but this whole controller copying thing rubs the wrong way with me.
As far as PC/console, I think they are very different gaming experiences, and I can definitely see where people would have both (I do). PC shooters are something that can't happen on a console, period. It just won't work. And as for the whole PS3 as a cheap computer thing, I think it still applies. Paying $600 for a cheap Dell is not going to give you a gaming machine. You'll be lucky if you have a video card from Dell for that price. Sure, you can get a decent one from IBuyPower for that price, but nothing that will play games at HD w/ 60fps like a PS3.
But again, all of my arguments are based upon PS3 actually behaving like a computer. Just because it has Linux hardly means it will have all the functions of a PC. Notably, printing will not be viable, and neither will general word processing or typing in general, unless you get a keyboard. But I just can't imagine that Sony spent time making the PS3 Linux behave like a real system. Where would they find the time to port all the GNU apps? I honestly wouldn't be surprised if the "Linux" they speak of is merely the kernel (which, technically speaking, is all Linux is) ported to the Cell processor, and then have a development environment and browser on it. I doubt they will have the Linux OS as the basis for the whole system, but rather as a separate place you can go if you want to make homebrew stuff or browse the net.