Lets cut out all these lofty dreams that Ken K. has and talk about what we will actually get to do on PS3 in the 2005-2006 timeframe.
we will see a game box capable of sustaining several hundred GFLOPs, even if PS3 does reach 1 TFLOPs, it would never reach that in practice.
if we had a machine that could sustain 500 GFLOPs, we'd have a nice machine. We will probably have games in 2005-2006 that look like todays old PS2 CGI. much like we had games in 2000 on PS2 that looked like old PS1 CGI.
PS3s will not be able to share computing power over the internet. no way, no how. And probably, there wont be games that can make use of several PS3s all in the same room, connected together, until the 2010 timeframe, if ever. by then, PS4 will be around the corner.