It's just someone saying that a console could ever have better graphics than a PC is complete and utter nonsense.
People also vastly overinflate the costs of PC gaming. I spent £500 on essentially a new machine a few weeks ago. Granted my monitor is low res at the moment but i'm confident it would look better than a console on a decent screen. A PS3 would cost about £275 here. Point people overlook is that the games on a console are far more expensive, so the price difference is really overstated.
If people prefer consoles or whatever, that's what they like, no issue. It's just daft when people go on ranting about how a console "outperforms" a PC when it's simply wrong.
As for the discussion of console RAM, it's always been low, because it doesn't need to be that high. It doesn't have to run a bloated OS for example, and it's going to be optimised to use only the graphics memory. That's the key thing that makes consoles able to keep up with budget gaming PCs. The fact that developers can heavily optimise instead of having to make sure it works for everything compentent under the sun.