If that becomes true can we finally go back to arguing about games?

Yes it does. Let me use PS1 and N64 as an example...

As powerful as the N64 was, it was limited by its ancient cartridge format. PS1 was able to churn out much more impressive games such as Metal Gear, Final Fantasy VII....etc. A console is only as powerful as its weakest component.

Ps1 & ps2 was less powerful but still amazing. While I'm a graphics hoe.. HOE! I know the situation Sony is in and as long as its a nice noticeable boast over ps3 il be ok with it. I just want dem games!

I'm thinking of getting both anyways.
We've learned more powerful means nothing if the developers don't take advantage anyways

Xbox 720 can have the graphics. Sony more often than not has the games. microsoft since the first xbox has had the better looking multiplats. never saved them in absolute value though.

I would be dissappointed for sure, but at the end of the day it is what you do with that hardware. PS brand always had the best exclusives to me so will most likely be sticking with them. Now if the strongest (Xbox i geuss?) also starts getting some rly cool games that take advantage of it having more power I might get it.

I was just about to get the original Xbox last gen because of its proven power, but then MS dropped all support for it so I thought it would be best to just grab the best new hardware as not to fall too far behind. Jade Empire, KOTOR, and Fable were the games that were enticing me...just didn't want to pay anywhere near full price for a console for 3 games(in comparison to having dozens owned and wanted on PS2). I am in a much better financial situation right now than I was then (was in HS part time job) so I am able to possibly meet them half way next time. This is all hypothetical of course.

Even if the X720 releases first, there's still a strong chance that it'll still be more powerful than the PS4. Sony can't afford ridiculous specs at the moment (according to some of the fine folks in Kowen's latest thread, anyway)

Of course it would. The issue with Live Gold is that it is free on other platforms/consoles so it looks a bit funny when it is the sole console where you have to pay...even if it has extra features. Having free games on Gold would be huge and I suspect in terms of the additional people signing up, as well as the attention this move would bring it would be totally worth it. 

How did Sony fans react when the PS2 and PS1 wasn't the most powerful consoles.

We will start a rebellion. Burn down buildings, rape women and buy the most powerfull console.

But I think it will be the most powerfull console when it comes out 2015.