Legacy wise, the 360 "won" that generation based on the games which were greenlit and distributed. PC front pajeetsoft's "games for windows" initiative was a dismal failure but the 360 was more than enough to fulfill Balmer's "get a computer on joe sixpack's lounge" directive. They fucked it all up because microsoft are ran by genetic retards.
Commercially the Wii handed everyone their asses. It moved more plastic dongle trash than anyone has ever in the history of mankind, and it was a way easier sell for families and non-game players as a whole.
The PS3 just didn't turn up. Kutaragi bet the farm on a quantum-leap computing machine that 1) developers never cared to learn to optimize for cost and time reasons 2) had a substantial learning curve for new programmers due to the cell processor algorithms which lost production leverage to the 360s-to-windows pipeline 3) sony found themselves playing catching up with stuff like the PS move and psp integration to minimal impact. Killing off the psp might have been the financially sound decision but my god, was it the wrong one under every other parameter, they just handed over the portable market to the upcoming nswitch.
It was an interesting generation of hardware due to how different each of the strategies employed was. I agree that it was the swan song before the jackboot of live services, lootboxes, gacha, hollywood movie slop and remastermania that we all suffer under from.