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I am not worried, i think this generation will last for quite few years more, Sony have lost billions and they will try to keep PS3 around as long as possible (it wont be determined by them at the end). The 360 is doing extremely well, it did cost MS a lot to put it in 2nd place and create a brand in the World so with PS3 not doing that well they can stay around for longer then people expect.

And Nintendo wouldnt want to end their domination just like that, Wii will be around for ages.

For portables, that's a better question, New DS and PSP might be coming soon (2010?)