Actually with consoles like the PS3, expect the audience to continue to broaden as it sells more units at cheaper price points, much like the PS2 did.
As much as I hate to say it, when reduced budget games become more common place (development costs drop), and the hardware prices become more mass market friendly, is when real market expansion takes place for any console that's managed to stay competitively in the game.
I don't want to use the Xbox as a model for the future of the 360 as the 360 has already succeeded where the Xbox failed in terms of library and hardware sales, but MS is clearly trying to expand markets as well from both a broader market appeal from both a software variety angle (broad appeal/"casual" games) and mass market friendly hardware prices.
There's no reason to believe either console will remain with the core and "semi-core" demographics. Barring any early exits/replacements, the trend will only move in the opposite direction towards broader market appeal.
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