The PS3 maybe wasn't a failure in the long run, but at launch it was a disaster all around. Sony was not making a profit on the PS3, and the initial sales at its initial price were not looking good[1]. With the Wii as its primary competitor, the Wii absolutely smashed the PS3 at launch and for a long while after, and it still maintains the lead. Sony mainly kept the competition close by slashing the price and introducing improved models, but in the long run I think the reason why their sales numbers managed to wind up OK is because they held out for the long haul. The PS3 continued to be the "current-gen" Sony console for a long time. By the time Sony had released the PS4 in late 2013/early 2014, Nintendo had already released its ill-fated Wii U console an entire year earlier in late 2012. I think what helped the PS3 a lot here was the fact that it did have a very compelling library of titles, even if it wasn't a super large one. As far as I know, Metal Gear Solid 4 was only released for PlayStation 3; that stands out to me as a game that would've been a console-seller for many.

So while PS3 was not ultimately a commercial success, it was clearly disliked by developers and the launch was certainly a disaster. I think you could argue the PS3 was a failure in many regards, and a success in some other regards. Credit to Sony, they definitely persevered through a tough launch and made it out to the other end. Nintendo wasn't able to pull off the same for the Wii U, even though it also did have some good exclusive games in the library.

[1]: https://web.archive.org/web/20161104003151/http://www.pcworl...