Speaking to GameDaily BIZ back at D.I.C.E. Microsoft Game Studios head Shane Kim said that their portfolio easily challenges Sony's first-party offerings. He also assigns a grade to 360 in 2006, talks about 360s breaking down, the possibility of new hardware ("Zephyr") being introduced, reaching a broader audience and more.
Massive Interview Inside...
it's a huge interview. 5 pages long, but definitely worth the read.
I'm not sure how the article qualifies the title of this post " 360 1st party better than PS3 1st party" Since the Xbox guy actually said "We'll Go Head-to-Head with Sony First-Party Any Day"
Its kinda hard, they both dont have GREAT first party titles.
Microsoft-Halo3
PS3-...
Xbox 360: Perfect Dark, Gears of War, Halo, Blue Dragon, Lost Odyssey, Project Gotham Racing, Forza Motorsport, Banjo-Kazooie, Too Human, Alan Wake, Fable, Mass Effect, Kameo
vs.
PS3: God of War, Gran Turismo, Ratchet & Clank, Jak, Sly Cooper, SOCOM, The Getaway, Killzone, Lair, MotorStorm, Resistance, Warhawk
vs.
Wii: Zelda, Super Mario, Metroid, Pokemon, Pikmin, Animal Crossing, WarioWare, Disaster, Battalion Wars, Fire Emblem, Donkey Kong, Smash Bros., Project HAMMER, Star Fox, Kirby, Paper Mario, F-Zero, Mario Kart
That's a pretty good list to give you an idea of what each platform will have to offer from the first-party publishers. You can decide. (note some of these games haven't yet been announced but seem pretty inevitable)
im pretty sure the PS has a lot more first party titles than that. i think LBP is a first party title.
on the wii side, im only interested in zelda, mario, and some of the mario variants like mario golf.
that's not to say that xbox's first party titles are all great, imo, but a lot of those dont interest me either.

It's fairly easy to say that the first-party support on the 360 is better than the first-party support on the PS3, seeing as one's been out almost and year and a half, and the other has been out a couple of months, and not even released yet in the UK.
You won't really see the PS3 bloom until this time next year, as the 360 is now, with tons of great games coming out this year.