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Computer all the way. the modding capabilities on it will be 10 fold better than the 360.
From what ive heard the 360 is one of the main reasons why they are dumbing up the game so much too.
just a thing to say but i think that this pole was already made before.
If you need to add mods to a game with over 200 hours of game time to it, then you must question the integrety of the game laid out for you! The only mods I would touch would be official ones (hey look, which they are releasing for both versions!).
Also, the 360 is not why they're dumbing it down. The 360 is more than capable of running Oblivlion. Hell, one of the devteam guys posts on a forum I go to and he's utterly baffled where PC gamers got that idea from. Must be their egos.
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Without buying a $US2000 HDTV, the highest resolution you'll be able to use with a console is 684x486 (disregarding NTSC/PAL differences) -- and that's with a lot of video options hardwired in. A liberal guess would be that Oblivion on X-Box 360 would mean 2xAA and no AF.
Compare that with a $US200 CRT, which can run at 1792x1344, has loads of color correction options and a relative size that can't be beat, and when paired with a card that has a decent amount of video memory, can put astounding amounts of AA and AF onto the image. Let's also not forget that PC also automatically means more settings -- I truly pity the X-Box users who have had to play Morrowind with linear lighting for the past four years.
I have ordered a VGA kit for my 360 and will be connecting it to my 19" CRT monitor which can display into the 2000+ pixel width... then I will be getting a HDTV when they eventually drop in price. All it'll cost me to get the same res as you is like, $30.

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...Which would either have you squinting at the eighteen-incher from half the room away, or else sitting at a desk using the console in place of a computer tower. Either one would completely negate the "relaxation" argument towards console play, which, as far as I know, is the only angle you guys have got working for you -- and a weak one, at that, but I digress.
Also, that still won't do anything about the fact that you've got inadequate AA, probably no AF at all, and graphics settings are just horribly neglected.
CRT monitors weigh about 10 kilos at best. Last time I checked, it's really quite easy to pick one up, put it on a table about 1 meter away from your couch and connect it to your 360. It's not PERFECT for asthetic reasons, but it's 100% functional and will do me fine.
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Oh yeah, and you contribute to Bill Gates domination of the world
Er, dude... you buy PC Hardware you're giving your money to IBM, Nividia, ATI and Crucial + many more... corporations rule our economic world mate, you're not going to avoid giving money to "teh evil corporation$" unless you steal stuff. Which is bad.
I have a PC in my room which has a 2000mhz processor, 256mb ram, 128mb graphics card, etc etc... all of which was hand built from bits off online stores, and purchased AFTER my xbox, which I got on the release date of. Said PC ran games at full spec for all of two years, if that. My xbox was still going strong. By this time, my PC ended up unable to play the best games out there whilst my xbox was still playing games with great graphics...
That PC is now dead in the corner. I shoot it with my airsoft rifle out of spite. I hate the damned crashtastic heap. Maybe in the future I will strip it out and build it anew, but not any time soon. I'm quite happy with my laptop I purchased for work (which I have logged 200 hours of morrowind on... too bad I get about 15 CTDs a DAY when playing morrowind).
Maybe I just have bad luck with PCs. Hell, I had a storebought one which was custom made for me and that failed to work properly at all! It went back to the store 10 times in as many days before they gave me my full refund.
Then I look at my 360. I've owned it since late December and it's crashed once... ONCE.
The other thing that bothers me with PCs is that when a devteam makes a game, they can't optimise it for one specific processor make and speed, ram size or graphics card clock speed... no, they have to scale it from the minimum requirements and then go up from there. Pentium and AMD processors, Nvidia and ATI graphics cards, all with different clock speeds and size.
I play BF2 on medium settings across the board on my laptop. My friend plays his on high. Upon comparing these two, the differences were tiny.
In short, PC gamers need to get off their high horse and respect the fact that us console gamers are here to stay, are NOT mentally retarded and are actually quite nice folks. If you don't like it, fine. Go play your precious FPS or MMORPG games.

Cheers,
Tom