Look, saying that the Xbox has a greater failure rate than the PS3 or vice versa is extremely fanboyish, whatever side you take. THEY BOTH FAIL.
But not for everyone. Its always dependent on environment, usage, storage, ventilation, etc. Yes hardware fails, but its not exclusive to any console.
I've an xbox 360 that I take great care of, cleaning out the dust on a weekly basis, installing games on the drive so as not to place great strain on the spindle and not using it as an overpriced dvd player. Basically I treat it like a notebook or my desktop PC. IT requires maintainence and care.
Also check the hours you log on your box, take breaks and shut it down when you are not playing.
That said, I have personally seen more PS3 failures than 360 failures, including 3 out of the box PS3 burnouts. The magical smoke that runs the console escaped.
But thats personal experience, and I still think that the PS3 is a decent system and has merit, just as much as the Xbox deserves.
And no, being a BluRay player is not an advantage except on disc storage size, which isn't much of a concern as the price of Final Fantasy XIII was the same for 360 despite having more discs.
On the funny side:
Wasn't one of the launch titles for PS3 called Console Fail?