If the PC model was so great consoles wouldn't f*cking exist. PCs just smoke consoles when it comes to hardware. If that's what mattered then we wouldn't have even made it to the current console generation and MS certainly wouldn't have bothered with the Xbox. People like the user friendly design of a console. They like how you buy it ONCE and every game released works on it as the creators intended. No incompatibility problems, no dumbing down the game for older hardware compatibility, no patches, no annual hardware costs to keep up with current games.
If a console loses these advantages then it will fail because it's nothing but a crappy PC. The console gaming market won't buy it. And even if they did for a little while because there was nothing else it would be so easy for another company to release something that was a real console and console gamers would flock back to it. If console gaming became the same as PC gaming PCs would crush consoles because almost everyone already owns a PC so if they have to upgrade hardware all the time they might as well do it for the machine that can also be used for word processing, accounting, shopping, listening to music, programming, web surfing, emailing, etc.