From someone who lives in Florida, I'm sure this entire news story was pertaining to one, maybe two isolated incidents where someone was asked to exchange "points" (or something of that nature) for naughty pictures of kids via online console games. I highly doubt this is something for most of the gamers on this website to worry about, and I also doubt many kids would typically fall for this sort of crap (unless they own a Wii, because they're probably 6).
I also think you'd be very hard-pressed to randomly find pedofiles on these game consoles, and furthermore it'd be even more unlikely for anyone to cooperate with them, so I don't think this is something to worry about. With all that in mind, I highly doubt we'll see a widespread drop in console sales just because of this news story.