Same problem
I had exactly the same problem a few months back. I sweated buckets over looking at all the various reasons for that annoying little gear spinning, and the machine not starting. To cut a very long story short it was a dead graphics card that caused my problem. When the old card was taken out and opened up it was clogged with dust making it run very hot and it was this that possibly led to its demise. I cleaned the card and reinstalled it, it started up but it only lasted a few weeks before I had to buy a replacement which was an ATI-radeon-hd-5870-1gb-graphics-upgrade-kit-for-mac-pro.
In retrospect what I had noticed was the fans in my mac running more that they previously did, do you have the same problem? You may also want to take the opportunity of giving the inside of the case a good spring clean.