what the hell is a intel power 7? do you mean a power PC chip? as those are made by IBM and the one in the PS3 is a long long way from a standard power PC chip, hell even the 360 chip is boosted by the tech used to create the Cell.
as for the GPU it's all good and well having a beefy GPU if you don't have the CPU to calculate all the movements to create the positioning data to be sent to the GPU so it can be rendered on the screen, this is why most newer games are quite CPU intensive on top of being GPU intensive it's all about balance, I could put a GTX680 on a PC with a old dual core, the PC would run but it would still run like crap in games compared to a PC with a CPU that can handle it.
either way most of the big developers have came out and said it is less powerful including the likes of EA and Activision, stating it makes it harder to make games and that it still can't have cross platform games with the PS3 and 360, so while it is close behind at the moment next year the new PS and Xbox are meant to be announced so it seems its just another case of one step forward and two steps back.
Nintendo their self have stated numerous times they are not aiming for the tripple A market and they are not aiming for the hard core market who demand power, they are aiming to market accessibility, they have even said multiple times they are not in a competition with any other format.