Sony are not likely to make a low powered console because the PS2 and 1 wasnt they were almost as good as some PCs when they luanched. However they may make a cheap version but not at the specs you guys are mentioning, they will probably be much higher

It is unlikely that Sony will produce another system like the PS3. Sony is a business and they manufacture Playstations to make a profit which the PS3 is doing a poor job of. The failure of the PS3 to capture a large portion of the current console market or generate software sales comperable to that of the competition means that they will likely change their business model for the PS4.

If the executives at Sony have any business sense then it is likely that the PS4 will only be incrememntally more powerful than the PS3. Additionally, the PS4 will probably feature a similar hardware architecture to the PS3 to simplify the development process for third party developers. Furthermore, many of the PS3's biggest problems stem from the inclusion of the Blu-Ray player so it is unlikely that they will employ radically new hardware components in the PS4.

Advances in the production of components (such as a 22nm Cell) will allow for a system that is both cheaper to manufacture and more powerful. I believe that this is the most likely scenario.

Well, who knows what the future will bring?

I personally dream of a single processing chip powerful enough to do all the standard CPU tasks, but also acting as a GPU. Super powerful so games can be super compressed, use procedural textures, etc, with ease.

I also dream of a single memory unit which is super fast, and super big - so it can act as memory and storage at the same time.

Two models - one with a optical drive, and one without. Entire game catalogue downloadable, do discs aren't necessary, but it you live in a shitty connection area, or whatever, you can still play the games. All games run straight off the memory unit, though.

I would personally like them to still with the cell architecture.  Developers should be familiar with it by then.  I would also like a much bigger Hard drive.  I think Sony also needs to establish 2 set models of the console, and they need to not flip flop every couple of months with a new model.  They also need to keep Blu Ray.  If they try and push another format on us i'll be angry.

I doubt another format after blu ray will come soon, cause DVD and VHS lasted around 30 years each. So PS4 will probably use blu ray

You do know this is 2012, right? I don't think that's happening until the PS6.

I'd suggest a Cell with 4 PPE's and 12 SPE's and no less than 4GB RAM.
Stick to BD, upgrading only its speed, maybe increasing the # of layers, but only if the tech will be already cheap by then.
HDD standard on all models, they're already cheap now, so like other things that made PS3's price skyrocket, they won't do the same to PS4 and they'll bring only their advantages.
And 100% BC with all previous Playstations.
Launch price: at least one model will have to be priced under $400 at launch, smaller HDD included.
And at least one model under $350 by its 2nd Xmas.

I can predict one thing about ps4: It'll be black lol

^^
Bold!

^^ Except in Japan where it'll get more colors XD