4 Tablets is unlikely to ever happen due to the processing power and bandwidth requirements; while it would be possible to get around these it would result in a more expensive system and/or controllers ... 2 Tablets is plausible though.
From my experience 2 tablets would be the correct configuration ... With the Wii I recommended people buy 3 additional Wiimotes and 1 additional nunchuck because (from my experience) most of the time you played a 4 player game you only used Wiimotes; while games with more complicated controls were often limited to 2 players.
Even on the HD consoles, few games support 4 player local multi-player ...
It is (somewhat) unfortunate though because I believe one of the greatest potential benefits of gigantic-screen HD displays would be 6 player local multi-player games.
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