Ive seen this asked over and over on this site, so since i own both, i decided to list a few. But to fully understand, you have to experience it for yourself. So take this list, find a friend with a 360, and see for yourself.
1- cross game chat -this is more than it sounds. not only can you chat accross different games, but you can seamlessly create a party while in game, and switch from friends only chat, to chatting with people online, all without leaving the game
2- Custom soundtracks- this is the most misunderstood by fanboys. This feature is built into every game, and is built on the LIVE software that MS created. Meaning when i play a custom soundtrack on 360 (whether its from the hard drive, pc, or MP3 player) the game music, and ONLY the game music, stops playing. This doesnt happen with PS3. On 360, it only plays the sound effects and ambient sounds in the game, allowing me to hear my song. PS3 just plays the music (only dev supported) over my game sound.
3-In game access to everything- this is another misunderstood feature. With 360, if im playing a game, and i want to.....say play netflix. i dont have to go to the dashboard first, all i do is press the guide button, and click netflix. It stops my game and immediately plays. Or if im playing........say mass effect, and i wanna play Jade Empire that i downloaded. Same thing, just press the guide, and scroll to downloaded games. Its is nowhere NEAR as easy on PS3
4- Trueskill Ranking system- I cant count how many times i was playing warhawk when i first got it, and got beat like a runaway slave until i got the hang of it. Imagine going to the gym to play basketball, and everyday you had to play against Michael Jordan, Kobe Bryant, and Shaq!! Trueskill tracks your accomplishments ingame, and matches you with people on your level, making sure every experience is fair, and fun.
5 Intergration- Kinda speaks for itself. Basically my friends list follows me through every game. im even notified if a friend is playing the same game as me, and allows me to join the right then, no lobbies, menus, or anything. I can also check my achievements, friends achievements, and the profiles of the last 40 people ive played online at anytime, whether im watching a movie, netflix, playing a game, or whatever.
6-Cross game invites- no matter what im doing, i can invite a player to my game with the press of a button. No need to type a message like on PS3. I can also record voice messages to send to anyone ingame.
7-Server based system- the myth going on is that LIVE doesnt have dedicated servers. While this is mostly true, what people fail to realize is that EVERYTHING Live related IS kept on servers, servers that MS maintains. My friends lists, achievements (even my achievement progress), games played, and even my LOCATION or MODE in the game is tracked and displayed to my friends. Meaning i can check my friends profile (ingame if i choose) and see what area hes cruising in GTA iv, or the score in madden or NFL nk9, or the mode, map, and score in Halo 3.
There are many more, but like i said, go experience it for yourself.
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