I don't know what the big deal is about the Wii. I played it, and it was like the DS...it had a really cool feature (touch screen/motion sensing).
Sadly, the only really good thing about the Wii was Zelda, but I have that on gamecube. My cousin stopped playing his Wii after he beat Zelda.
It really has nothing that's very good. Then again, the PS3 has Resistance...and the rest is meh.
I can see why the $250 part sounds better than $500.
Still, I think the Wii will go the way of the DS...I stopped playing it ages ago, and I thought it was soooo cool. The only people that play it now seem to be little kids, because the games still seem lacking (at least in my opinion, I know there are great games on it). The PSP is way more expensive, but I bought one, and I play it a lot more than my DS. I don't think it's "cool" to have, I just find it more enjoyable and like the game selection more.
PS3 really only interests hardcore gamers and HD freaks right now, especially with the $500 price. The Wii is widely attractive to pretty much everyone, so it sells. Price and innovation.
Still, the PS3 has apparently sold more than the 360 did when it came out, so I wouldn't be worried. They'll sell soon.