360 does have a VGA port, and it can display 1080P, however, a lot of the games aren't developed for it. For that matter the PS3 has the same problem, a lot of the games only run at 720P.
It's funny though, no matter what argument is brought up comparing the PS3 to the 360, we all seem to forget one thing. The 360 has been out for more than a year now, so we have a decent idea of what it's capable of, and what's to come. The PS3 just came out, and it's getting the same type of feedback the 360 did when it first came out. We don't know enough about the future of the system yet. Why does everyone have such a short attention span? Do we not remember griping about the 360 the same exact way? Give it some time to catch up, to better itself, we only have a few extra non-release games to judge it by so far.
I think all 3 systems have potential - The Wii is great for large groups of people and a party atmosphere, the PS3 is the most powerful and probably has the most potential to impress, and the 360's online network is unmatched at the moment and has a great selection of games. However, only one really can be judged properly out of the three, and that's the 360. Even now it's a bit too early to judge in my opinion, we all know that in a few years the games on the 360 are going to be amazing compared to what they are now.
For all the PS3 haters there, it's easy to explain why people prefer it over the 360. Even though I've listed all of these reasons countless times, I'll do it again.
60GB's of space
BLU-Ray player
Wi-fi ready
Free online play(including Home, if you don't know what it is, read up on it, it's great)
Games are on Blu-ray discs allowing for more potential.
Triple card reader
Add all of that value up, even if you cut the prices in half the 360 with all of these features will more than double it's price and exceed the cost of a PS3.
Of course you're going to say that there are no games for it.. read above.. it hasn't been out long enough. Give it some time.