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this is just too early for the two HD console, i'm sure nintendo will come out first for next gen, it will be something like kinect working with a new better and more comfortable holding style motion controller, a built in cam on the console to capture both your body motion into game at the same time using the new motion controller to perform much more better and easier way that all the control kinect have problem dealing with...

as for hardware, nintendo never go for really hi-end spec, probably slidely stronger than PS3 or Xbox360 is good enough since such level spec already don't really need costly to produce by that time, so they will still get profit from launch day even its not selling at high price...

isn't it great idea... xDD