What we gave up was worth it, PC developers were busy making a PC gaming an even more miserable mess than it had been before, with limited activations and other worse kinds of DRM, etc. The dedicated servers were on their way out already. What did we actually give up? Better graphics and modding, both of which don't matter all that much to shooters (they're nice, but not critical). We got a lot more than that in return.
I'm not sure how many times I need to make the point to you that PC DRM is irrelevant while server-dependent DLC, patches and (soon) game activation are a much bigger deal on closed platforms like the Xbox. Your DRM arguments against PC are silly to me.
Well, unless Diablo 3 catches on and it all goes server-side, in which case fuuuuuuck.
As for the rest, it's just different perspectives. I like having an open platform where MS doesn't control everything. I like having mouse aim as an option. I like being able to tweak stuff like removing FEAR 2's grain filter. I like mods and faster patches when they are given. I like free multiplayer. I like digital distribution. I like how we have built-in backwards compatibility and to play Deus Ex Invisible War all I need to do is load is, rather than fishing the old OG Xbox from the closet and hoping it still turns on. I like crisp 1080p images with AA and AF at high levels so games look as good as they should.
There are certainly reasons to prefer consoles, the majority do after all, but there are also reasons to still prefer the PC in 2012.