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He's totally wrong on all fronts.

Console makers are not going to be 'bleading edge' like they were with the start of this gen. They will put out consoles that are 5-8 times more powerful than current gen and capable of pushing the latest and greatest like Battlefield 3 (clearly a difference between its PC version and consoles in almost every way), etc. This will be due more to optimization of hardware than raw power.

They are striving for a $400 MAX price point that can be made profitable with the purchase of a game or two and an extra controller. WiiU will be relatively less so the price can be less. But not much of a difference overall.

He's also wrong that this will enable Apple to dominate. iTV and Google TV will continue to push gaming on their respective operating systems (iOS and Android) in the next year we will see standardize controllers running on bluetooth come out for each platform. However, MSs next system with a Windows8 base will be overall a similar system and PS4 will have many of the same features as well. Making them all similar in offerings.. mostly.

There still will be a difference in community and first party content. For Nintendo this will be most beneficial, but MSony will also be just fine based on their current brand recognition and respective individual offerings.

Also, it wouldn't matter if MSony did put out $600 bleeding edge monsters... Apple and Google OEMs advance continuously and in 2years would be more capable anyways. So his line of thought would still end up with Apple dominating.