The point with the N64 is that they had to change internal chip microcode to improve the graphics.
This guy is talking about the SPU's, since it is multicore i don't expect 100% is the limit. More something like 60-70%, it is incredibly difficult to have a near perfect multicore application. Even the smallest change in code can decrease preformance big time.
But beware of those numbers, with the N64 you had plain ugly games like daikatana where levels were probably made up with 30k polygons and ugly,ugly textures. So every improvement made it look way better. This won't be happening with the PS3, nor with the Xbox or Wii.
I'm not a GPU expert, but both the Xbox360 and PS3 are made around a similar graphics core and memory map. So in the end i don't expect huge differences.
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