I'm still under the opinion that Sony will release a "PS4K" in the fall, but that it will NOT have an upgraded GPU or CPU system. All that Sony will touch-up is the video outputs and video/audio decode blocks of the system, to allow it to decode/read the new Ultra HD Blu-ray discs and output the new audio formats that come with those.
PS2 was Sony's trojan horse to getting a DVD player to everyone. I know a lot of people, myself included, whose sole DVD player was a PS2. And PS3 did the same for Blu-ray - again, a lot of consumers including myself only ever had a PS3 as a Blu-ray player in the home. It makes perfect sense for Sony to go for the hat trick, and turn the PS4 into the Ultra HD Blu-ray trojan horse.
No doubt Sony will make manufacturing jump to TSMC's 16nm FinFET process, which will result in a chip less than half the size of the current 28nm one. But when you move to a different process, you are (in a sense) redesigning the entire chip. If you are doing that already, why not upgrade the A/V blocks to support 4K discs and output?
So my prediction is this: in October, a $299 PS4/500GB with 4K video (not games) capability built on the new 16nm process. That would allow Sony to sell something "new-ish" while cutting the price AND maintaining (possibly even improving) profit margins on the system.
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