Crysis? UT2007? ET: Quake Wars? C&C: Tiberium Wars? Supreme Commander? HL2 EP2/3? TF2? DX10? Vista? Physics Processing Units? Dual and Quad Core gaming? SLI and Quad SLI? Seriously, name me one game for the 360 other than Halo 3 people are excited about. All those games I listed above are potential 95+/100 games.
The same nonsense comes out every time a new console arrives. Not many PC only games right now but besides the fact they play better on the PC (FPS and RTS on console is ******** IMO), it's only a matter of time before PC games become too advanced yet again. When the PS2 came out, it was because PC games simply became too graphically advanced. This will happen again, but this time around the PC actually has two distinct advantages already on the horizon - DX10 which the Xbox does not support (which is the biggest leap in DX tech, well, ever) and Physics Processing Units, which have the potential to impact gaming like the transition from 2D to 3D did. Not to mention PC is shifting from 32bit to 64bit right now, and Dual Core CPU's and multi core videocards are becoming standard. The 360 is already out muscled now let alone the moment AMD and Intel release their Quad Core CPU's in early 2007.
PC gaming is evolving, not dieing.