I agree with some of your points vinaycm, but console gaming isn't really cheaper than PC gaming is.You still have to buy a new console every few years(2 years currently). The only difference is that any peripherals you buy with the console is rendered useless with each new console you buy unlike a PC, and In India, PC gaming still offers better variety and more importantly, better pricing.
Also, Consoles themselves are becoming more like PC's each gen. Just look at the PSP and the PS3 with their inummerable updates...Or the several minutes gone in compulsory HDD installs which only marginally improves load times. Even console games come with patches and extra content now which only complicate things.