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People that think HD will make any difference are delusional.
Halo 3 proved that people won't see the difference between HD and lesser resolution, which destroys the main selling point of HD consoles.
Most people actually believe the Wii games are better looking than the XB360 and PS3 ones.
Hoping for all those people that buy HDTV because they are flat, and connecing them through composite, to become home theater fans just because they bought a HDTV without even understanding what HD is, is pure wishful thinking.

As for the stupid analysts, they sure make for a good laugh.