No no, Hollow. While I agree with you that there will be improvements to the current consoles like the Wii HD and even updates to the PS3 and 360, a company doesn't invest millions upon millions of dollars in hardware only to drop it all a few years later because its not turning a profit.
Do you know how long it takes to turn a profit on a product? And besides, they don't make a profit from the hardware itself, that's why MS sunk billions into the xbox and the 360. They make a profit on peripherals and even likely (or hopefully) on royalties that developers pay to make their game a 360 or PS3 title.
MS's perspective is something like this... We put everything we've got into making our console. Why? So its in everyone's living room. Who cares if we loose money, we're a multi billion dollar corporation. We get our console in everyone's living room and then we have the power. We control the market and all the future money comes back to us.
Its the sameway Walmart works, its the same way Starbucks works. If you want a cup of coffee and as you walk down the street you see a starbucks on EVERY corner, where are you likely going to buy said cup of coffee?
If you want to buy something, a t-shirt, a blender, a videogame, a tv, a toothbursh, some toilet paper, a pack of gum, and the easiest and the cheapest place to get any of those items is Walmart, hell, the fact that you CAN get ALL of those items in one location, where are you going to go?
That's why Microsoft, Starbucks and Walmart are evil. They are imperialistic corporations. The dictionary definition of Imperialism "the creation and maintenance of an unequal economic, cultural and territorial relationship, usually between states and often in the form of an empire".
That's EXACTLY how these business work. They don't give a shit about the local businesses who are started by Joe Blow and run by his wife and kids. They don't care that they hire all of their employees at 50 cents on the minimum wadge and then convince them that its better for them cause its less stressful than being on commission. They don't care period.
So, do you think a company who's business tactics rival those of world conquorers like Genghis Khan or Julius Ceasar is really going to get up and walk away from something they've invested billions of dollars in? No. Why? Cause they'd be negatively competing with themselves. Its the same reason why Activion's shooters were pushed back to early 2010 release dates instead of releasing at christmas as per usual. Not just that they didn't want to compete with Call of Duty MW 2, but because they'd be competing with themselves.
Someone else said in a gamespot post why Valve isn't releasing HL2 Ep 3 yet was because they know that as soon as they announce Ep 3, even a single screen shot, no one is going to buy any of their other games because "HL2 ep 3 is coming".
On top of that, Valve is now positioned as one of the biggest publisher/distributors of PC games with Steam. If they announce Ep 3 too early, they'll not only be squashing any of their own titles, but any other competing title (and even some non-competing) available on steam.