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PS3's power -- untapped for years?

The former boss of Shiny Entertainment, Dave Perry, has decided to shower the PS3 with praises, calling it "the best piece of hardware, without question" among other things... but says that statement won't become obvious for a few years. He says that so far, he's not seen a single game that properly shows off the power of the PlayStation 3. "I haven't seen anything even close to what the machine's capable of doing. So that's the sad part for Sony - I feel really bad for them that somebody hasn't really stepped up to show us the hardware all singing, all dancing."

He cited the common cycle in the console market -- first-gen games to last-gen games on a console. We've done that before, you know what we're talking about. Games initially look like crap when compared to the last games released for the system -- Perry used God of War as his example of how the PS2 created gorgeous games after being around for a few years. But he placed most of the blame on hardware designers, specifically, the fact that software developers should have more say in what's put into a console and less add-on stuff like web browsers. What do you guys think? Is he right? Should software developers get a say in what they'd like to find in a console instead of just dealing with the difficult programming business that comes along later?