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I've played Grand Theft Auto 4 on the PS3 and was impressed with the detail, environment, and fluid character movements.
You might be impressed playing Crysis 1 on consoles as well, but would you prefer playing it with realistic graphics at PC or deteriorated graphics at a console (low resolution, reduced detalization, no anti-aliasing, etc.) (http://www.youtube.com/watch?v=AcKLjgWl7tM)?
In two years, PS3-like graphics will be insufficient for the desktop and console market, and we will be in the same situation.
It is insufficient for serveral years already. Consoles were not improved for 6 years, and constanly developing desktop keeps getting console graphics (excluding only Crysis 1), except better resoultion, framerates and minor improvements if any.