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Mazty said:

Lol no. Just no. 

TLoU is not next-gen graphics. Shadowfall clearly was and in no way could it be scaled down reasonably. The power in the PS4 is a league above the existing consoles according to the Digital Foundry guys, and that was quite clear at the conferance. 
Diminishing returns according to whom? Only if the game sells less, and then you may still make a profit so what's the problem? With how easy games are becoming to make, there is no reason why games have to be more expensive to look better, or take more time. 

Your word against mine, once again. You will see that by next gen we will not need next gen consoles, because the specs will yield little extra detail that is visible to the eye. Here is a great pic from RicardJulianti's article, and judge for yourself: