I love you, my fellow homosexual. Sometimes it bothers me when people come up tome and ask for fashion advice, or some other crazy stuff that I just plain don't know about. I also get too many questiosn of "Are you really gay?" after not being able to help them. It's quite sad.
Anyways, on the issue of gays in video games. I think the Sims is the best example of what I want to see. I want to see a loving relationship between two characters, who are just like all the other polygon characters fromt he cover. They aren't gay from the start, but you form them to be that. Leave it up to the player, and if they do follow the gay route, don't make them into a stereotype. Just make them like everyone else.
Hopefully future Sims games will allow you to focus more on how you character acts. In terms of being "straight acting", flamboyant, masculine, or feminine. I'd actually rather not see more gay characters until they're fully capable for the player to mold. You leave a lot less of a chance of getting such content to backfire.