The bottom line is the Wii has been a novelty piece of shit since launch, and that novelty (mostly around the motion sensing) I think has run its course. The Wii's software lineup is complete shit aside from the usual great 1st party games. A cheap sticker price and useless peripherals don't always equal a great console experience, and I think a lot of people are starting to realize that.
I think what happened with the PS3 was Sony had the best intentions of putting out the most powerful and cutting edge console they could, but I think they got a little over ambitious with the PS3 and costs got somewhat out of control, and hopefully they've learned some lessons from that?! However, I still firmly believe the PS3's best days have yet to come. The PS3 game library is on par with the 360 and destroys the Wii's software lineup, it's a very reliable console, a price drop is right around the corner, and Sony has HUGE games coming in the next 6-10 months along with more kick ass titles going into greatest hits I'm sure.
I think there's going to be a major change in the balance of power in the console wars over the next 1-2 years because I think the Wii is already starting to burn out, the 360 will probably continue to sell steadily, but it doesn't have the amount of AAA coming that PS3 has coming. As far as I can see, the PS3 is the only system that has the legs and vast software lineup that will be around in 5 years, cuz the Wii sure won't be and MS will have probably long pulled the plug on the 360 by then.