Hrmm I agree with Shifty's first post in this thread. The assumption that Wii is this gen's "clear winner" being simply because of low cost (at the cost of graphical power) is a mistake Sony need to be wary of. A cheap PS4 "reboot" of the PS3 with better graphics and fully backwards compatability sounds like good business sense, but it still needs that magic draw-in factor the Wii has to make it actually sell.
They'd basically be hoping for a market psychology reboot. It can work but you need a strong hook. Wii did that with motion control this time around. What will Sony have? Cell, Blu Ray, new GPU etc are all just enthusiast and hard core talk. It's not the hook for the masses. And frankly you don't know if the hook now, will still be alive and well in 2011. What if the PS4 becomes "wii like" but the market had enough of it and are looking for something else?
Market psychology is the most difficult thing to predict and only becomes known when it's too late.
The key for Sony will be a few things:
1. Stick to gaming. That should be the identity of the PS4. The hardcore will be there for you already but don't waste the precious marketing pre release window by being all over the place like the did with the PS3. Once the market perception is set, it takes a LOT of effort to change.
2. Price of entry. I don't think Sony will make the mistake of a $600 console again. They just won't.
3. Better development tools. Don't let your exotic tech and lack of support tools be the reason your version of the game lags behind routinely. Even when parity is achieved, market perception overrides actual results.
4. Talk shit, less and deliver more. Quit the boasting and grandstanding. Come out and show people that the PS4 will make for FUN GAMES. Don't sit there and brag about power numbers. Like I said, the hard core will be there for you. You've already established the Playstation brand in the minds of the hard core and the casuals don't care for all the tech bragging. Show the games and deliver them ON TIME.
They need to get back to the fundamentals of making a gaming system for a great gaming experience and convince the people that they've done so.