Simply put, consoles can offer things that PC's do not offer the day the game is released. Fantstic graphics at a relatively cheap price. Take the xbox 360 for example: default graphics are HDMI into an HDTV while most PC's have no video support beyond DVI.
Well, with my computer I use a DVI to VGA adapter, and my monitor supplies me with a nice 1600x1200 resolution @ 75Hz, non-interlaced. Have a good old fashioned CRT, although a new LCD is on my wish list. Problem is, with all of that width, they lose some height. You'd think that with the new technologies I'd get higher resolutions both ways, but I guess not
. It's basically the same thing as 1080p but with a different aspect ratio.
Consoles are dedicated gaming systems with multi-player in one place
There are some very nice MMORPGs for PCs
. In fact, many of the top selling PC games are MMORPGs. Not to mention instant messaging, VoIP, Email, and of course the occasional LAN party.
I suppose the console does have that split screen thing, I'll give it that.
Although that is more a matter of priority and usage rather than technology. Split screen games for the PC do exist, and there's nothing saying you can't plug several game controllers into the USB ports on a PC.
PCs however will never die out as a video game market because their games are better protected against the wash of time. Eventually there will be no NES' left to play their games while the text based games of MS-DOS will always be around for gamers to experience.
By the way, you can play NES games on an emulator - on a PC
DOS games have gone the same way - I need an emulator for them, as current versions of Windows have gotten rid of DOS.