Why PS4 won't be cutting edge, and neither will Xbox3 - or Why Nintendo might win next gen

[VGKing]

It's impossible for a next-gen console to be both cutting-edge, and affordable. Sony proved that with the PS3.
So PS4 will be high-end. That's it. They won't be introducing a new disc format or some alien processor. It will use custom off-the-shelf parts.

I skimmed through your post but I think I get what you're trying to say...and I really think you're wrong.
Multiplats won't be equal between PS4/720 and Wii U. I think you're severely underestimating Sony and Microsoft here.

If you think the Wii U is even a little bit more powerful....keep in mind that Nintendo made it as cheap as possible. They aren't even trying to compete with the upcoming consoles. Now imagine how powerful PS4/720 will be when MS/Sony DO try and really push console tech forward, they won't be limited by small console form factors and Sony/MS aren't afraid to make a console that's a little loud.

I think you're also missing a major factor with PS4. It's not being made in Japan......so I don't think the whole Yen thing will be much of a problem.(Can some smarty pants confirm this?)