DVD isn't the issue relating to how long a game is. Take Okami on the Wii, for example. That's a 60 hour game on a Wii Optical Disc. Then you have PS3 games on Blu-Ray discs that lost less than 10 hours.
Then there's the PC taking away exclusive thingy you mentioned. That doesn't matter at all. Console gamers, for the most part, don't play PC games as much or at all. It's not troubling for a 360 fan to see them lose an exclusive to the PC while it is troubling for a PS3 when an exclusive is lost to the 360.
Too Human and Infite Undiscovery flopping aren't as devasting as you like to believe, TC. Too Human was already disliked by many thanks to Dennis Dyack's sheer idiocy on message boards. Right now, it has a score in the 60's on MetaCritic, which isn't bad, it's just not recommendable. Then there's Infinite Undiscovery, which did disappoint many, but still has good reviews overall and is in the 70's on MetaCritic. Compared to other flops this generation, most of which were on the PS3, actually, Too Human and Infinite Undiscovery are masterpieces.
Finally, the price cut you mentioned doesn't matter. It's just in response to the Wii's domination and Microsoft's drive to put out a SKU cheaper than the Wii. It's the second console this generation to receive a price cut, so again, it beat the PS3 there.
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