For a gaming console, 360 is the way to go. As it was mentioned earlier, the newer systems have improved heatsinks and design upgrades to prevent the hardwire failures. I've had my Elite for almost a year with no problems. I just make sure to keep it in a completely open-air space (i.e. - sitting on my entertainment center directly in front of my HDTV). And XBox LIVE is the best $50/yr subscription I've ever paid for!
However, PS3 is widely considered to be the most efficient Blu-Ray player currently on the market, and getting the firmware updates are very easy due to Sony's online network. Considering the PS3 is around the same price as a "good" stand-alone Blu-Ray player, your best bet is buy one of them as your BR player with the side benefit of having a second gaming console.
So in all honesty, Pix, you're really looking at buying both because they are both excellent machines in completely different ways.