I agree. It's going to do more work per cycle than 360's cores, and with it's larger cache, it's going to have more localized data.
What does it do more?
It does less MIPS/DMIPS (Integer) and less Flops (Floating Point).
Does a larger cache mean better performance?
Tell about a P4 3,8GHz 2MB winning from the Amd 64 3800+ 512KB or a P4 3,0GHz 1MB from an Amd 64 3000+ then please.
That's even neglecting the fact the P4's L-2 cache has a 256bit interface and runs higher frequenties (an Amd 64 L-2 cache only has a 128bit interface and lower frequenties).
It could have more localized data but does it?
Theoretical means nothing the fact is that Intel Conroe will never be pushed anything more than 50% of what it's capable of while the developers will try to get each drop of power out of the Xenon.
Maybe the Conroe is better at some things like word processing or running Windows XP/Vista but who cares?
Xenon is better at running heavy AI, heavy physics, gamecode and everything else that make a Xbox 360 game or application.
That's where it's made for and where it does best and nothing else matters.
For Cell however it's a whole different story because it will venture into more than just the PS3.
But as with the Xenon the story for the Cell remains the same.
It does great (better than any CPU money can buy) where it's made for (running heavy workstation, server, clusterserver, supercomputer applications smoothly with a single Cell and running PS3 games) and where it does best and nothing else matters.
Plus compiler technology is far more advanced for x86 than the PPC architecture.