I posted this in my videogame blog, "Goes to 11" but felt like also posting it here, to discuss (and get it on record).  You can see the original post here:

http://goes-to-11.blogspot.com/2010/04/predictions-on-nintendo-3ds-and-next.html

* Graphics comparible to 360 and PS3, but smaller. Look at 480P at least, and run the games made for the 360 and PS3 (size of unit screens will be on par with what you have with the DSi XL). Memory will be comparible also, 256MB RAM minimum, or looking at 512MB. Will feature at least 16GB of RAM storage internally and also use SD cards for games, that will be a minimum of 8Gigs of storage if not larger (comparible with the 360).
* Use the case seen with the DSi XL. Will have two analog sticks at the bottom (one on each side of the screen, in addition to the D-Pad). It will also add two trigger buttons on the unit (under the normal buttons), and have a layout similar to what is seen with the 360 and PS3. Will have the similar layout for the screens with the top screen being 3D and the bottom one still being touch screen. It will be clam shell as has been the norm.
* Next Nintendo home console will run 3DS software, along with Wii software. It will have full integration with the 3DS system, and allow players to use their 3DS systems as controllers with the next Nintendo home console. Look for the possibility of 16 player simultaneous LAN party action using the next Nintendo home console.
* The 3DS will feature improved connection to the Internet and Nintendo will expand its online service to be closer to the 360 and PS3. Downloadable movies will also be a possibility.
* Will be priced at $200 at launch, $250 max.
* Will contain numerous titles not yet released on the Wii, like F-Zero, and possibly a 3D Punch Out.

The 3DS will probably be roughly as powerful as the Gamecube or Wii, allowing Nintendo to re-release Gamecube and Wii games over the next decade maximizing the profit they received developing those games.

Nintendo’s next home console will probably be significantly better than the PS3 or XBox 360 on Nintendo’s next console. They’re going to have to licence new technology for their CPU and GPU, and do a significant amount of R&D to create their console anyways, regardless of whether they go for "PS3/XBox 360 graphics” or aim for more conventional performance; and being that (for the most part) taking advantage of the additional processing power will cost no more than making a current HD game they gain very little by limiting performance past a certain point.

My reasoning on the graphics, was that I saw that the 3DS could be something Nintendo uses to get games released on the PS3 and 360, and also have them when the next home console comes out.

I can already see the joke that Nintendo is re-re-releasing two duct tapped Gamecube's in portable form.

Do you mean GB and not MB of local storage?

Next Nintendo homeconsole with HVD (holographic versatil disc). There were rumors about Nintendo and the holographic storage. Maybe just a rumor, but who knows?

I cleaned it up.  I meant 256MB of RAM and 16GB local storage, including the ability to plug an SD card in for more storage.  I also see the next Wii having a slot for 3DS cards to play them, that also double as storage slot to.

I wonder if it'll be enough memory for a decent web browsing experience? Though I suspect you ought to quarter the local storage to about 2-4GB. Flash memory has increased in price this year and with expandability they'd probably put in as little as they can get away with.

I heard of HVD,I never really understood what it is tho..hint hint

3DS will be mildly more power than the DSi. It will however run a parrallel graphics chip.
The graphics Chip will be pretty much the same as the current shitty graphics chip to maintain cost performance.
It will still be mostly the DSi, but with a 3D screen capability.

The Wii2 will never exist. Nintendo will release an Wiiteration. Like the DSi.
Minor bump in power with a bit more features. This will mean more Wiiterations in the life cycle.

All Nintendo has to do to make a nice graphics jump is put in an ATI chip that supports OpenCL. Then there will be a lot less bitching about power.