After avoiding building a new PC for YEARS AND YEARS (seriously, the last time I had built a PC was 1999) I built a new one this summer. I'd always been weary of high PC prices, but I was pleasantly surprised. All in all, I spent about $700, $1200 if you want to count the "monitor." My PC preforms as I need it, but I suspect I use my PC differently than most. My PC is a dedicated HTPC (home theater PC) that acts mainly as a client for my media server.
$1200 and some very thrifty spending got me:
Intel Core2 Quad Q9400 2.66GHz Quad-Core Processor
8800 GT 512 MB
4 gb Corsair DDR2 800 memory
Audigy Z2 Pro
320 gb HDD
DVD drive
cheap ass case
500w PSU
cheap wireless keyboard and mouse
A gyration motion-controlled universal remote
black, wireless 360 controller
42" Winbook HDTV
For $1200, I think this is a steal. My PC sits on my entertainment center next to my PS3, 360, and wii, and is hooked up to the HDTV using HDMI. Since it's hooked up to an HDTV, it runs at 1920×1080 most of the time.
Now, like I said, I use my PC a little different than most. For starters, I don't really use a keyboard and mouse with the PC since it's a media computer. My gyroscopic remote works like a wii-mote in that I can wave it around and move the mouse. It's running MediaPortal as it's front end and it basically hides the x64 vista running behind it.
I bought pinnacle profiler for $10 and it lets me map games controls to my 360 pad. For the most part, I'm not a very snobby PC gamer since I use my PC like a console. I sit on the couch and play mainly with a gamepad. Games like crysis, for example, I play exclusively with the pad. I don't really care about competitive gaming.
For games where mouse is a must, like World in Conflict, or Unreal Tournament 3, I map walking and stuff to the left side of the 360 controller, and the rest to my gyration remote, which lets me play with a pseudo-wiimote. Works very well - I was able to beat World in Conflict very easily.
Since I got my media PC, I've been buying up games like crazy since, as people pointed out, they're cheaper on the PC. In the last 2 months I've gotten Crysis, Call of Duty 2, Devil May Cry 4, GRiD, Assassins Creed, World in Conflict, Brothers in Arms, Kane & Lynch, Lost Planet, Bioshock (OMG way better than the 360 version), Aquaria, Oblivion, Penny-Arcade Episode 1, Rainbow Six Vegas 2, Prey, Turok, UT3, and Tomb Raider Anniversary. With the exception of Crysis, which has to be run at 1280×720 and medium settings, and Assassins Creed, which runs at 1280 x 720 on high settings, everything runs flawlessly at 1080p on high settings.
This entire experience has completely changed my view of PC gaming. While I still think it's on the decline, I don't think it's expensive (or at least, more so than console gaming) nor is it difficult. My PC is my 4th console, and I love it. Had I held off on the Gyration remote (which was $100 itself), used an old HDD and and old monitor, I could have easily built my system for $400. And while it's not top of the line, it's upgradeable and still powerful enough that I don't need to really look at the minimum PC requirements.
Plus, since it's connected to my media server, it completely trashes the PS3 and 360 when it comes to video. I use my desktop for surfing the net and general computing, so I don't need to do that with my media PC, but let me tell you that watching video in 1080p on my PC is sex.
Since I'm so proud of my first gaming class PC since 1999, here's some pics of my setup... sorry about the low quality, they came from my phone:
my setup
crappy case
MediaPortal
Games selection
Remote
Bioshock
Planet Earth in 1080p
If anyone's curious, I can capture some video or pics of how I play World in Conflict using my remote.
No real point to this post other than to give the experience of basically a first time PC gamer after being a life long console gamer.
EDIT: Oh wow those pics are bigger than I expected... do I need to resize?