If Sony goes with an evolutionary hardware design (Wii, 360), rather than starting from a clean sheet of paper (PS2, PS3), from a tech marketing standpoint, the PS4 may not sound as impressive, but so long as it delivers in terms of software, it should be very possible to produce a system that can be sold at a profit for under $400. That's simply by relying upon the natural evolution of semiconductors in memory, CPU and GPUs.
Rather than shooting for the moon with an attempt to reinvent the wheel (and market it as such), simply rely upon the established fact that more performance/data processing capability will be available for less money over time.
Make modest claims about the performance in theory, while consistently outperforming those modest consumer expectations in practice. It would would mean adopting the opposite strategy Sony has followed over the last two console generations where unrealistic claims were made about the hardware that were not realized through the software.
Concentrate for now on continually reducing the production price (as it's being done) as fast as possible to improve profitability until production costs reach a point at which a significant reduction at retail can be made to expand the general user base.
Sony doesn't need a PS4 for that.
Of course a PS4 is still inevitable.
If Sony learns anything from the current generation, it will focus on making the console more accessible from a user interface standpoint and more importantly, from a financial standpoint. It all depends upon the size of the user base they're shooting for: most won't pay even $400 for a new console.
They'll have to make it cheaper than the PS3, and they'll have to sell it either cost, or at a small profit right from the beginning.