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Well... I hope so.

With PS4 I don't expect it to be a huge leap like we saw from PS2 to PS3.

It will have numerous upgrades, yes. Although I doubt it will cost $800 to make one. Nowhere near that.

I think it will launch at either $350 or $400. Possibly making a profit on launch or within a year of launch.

 

And this time, Sony will have games for the damn machine early! And it will have full PSone, PS2 and PS3 backwards compatibility. With the current PSone lineup of games being on PSN and PS2 games also being available on PSN.