While my PS3s and Xbox are working just fine, the graphics jump to relatively modern hardware should be fairly stunning. As a lifelong PC gamer, I am honestly impressed every year in the quality of new games on consoles. Console devs are masters of squeezing performance out of the old hardware and each year are able to - seemingly by magic - up the ante. Give this next generation of consoles a development cycle or two and I imagine the games will be incredible. Better than a PC? Obviously not, but with the processing power likely installed in the new consoles, the gap between PCs and consoles should not grow as rapidly as it has in the past.
My main interest is whether or not the Xbox will have bluray as that was my primary reason for the PS3s... Well, that and Uncharted. Perhaps I will be able to have just one or the other this time around.