What you guys seem to forget is that specifications and manufacturing tooling for the next gen consoles are likely to have been decided already, possibly even last year. Considering what is possible when you have a fixed spec to develop for you can get a crapload more graphical goodness out of it compared to having to support thousands of different graphics and CPU manufacturers and specifications. Considering 360 and PS3 hardware was probably finalised almost a decade ago then the games available now look pretty damn good. It's unlikely they'll have to support an output greater than 1080p (even ignoring the suggested PS4 support for 4k) and they won't have to support a lot of the given graphical trickery expected of modern PC games.
If they wanted to they could pack every Xbox with a AMD 78xx or every PS4 with a GeForce 600 series card but that would put the price up. Very few people will pay £500 for the next gen consoles and with cutting edge graphics on board that's how much they would retail for and they would STILL make a loss in manufacture. You may LOL at them but they are VITALLY IMPORTANT for the next wave of PC Games. LOL all you want but if they don't sell, if people don't upgrade then PC gaming will suffer horribly. As PC gamers we need these to sell and do so in their millions as soon as possible.