There is a curve my friend.
Each generation the power of consoles doubles and perhaps even quadruples, but the differences become less and less noticeable, this is because we have already jumped to 3d graphics and about the only thing that is improving these days is lighting effects, texture details, sound and physics. Apart from physics (which is fairly standardised now anyway) everything there can only be noticed by looking carefully at details.
In other words, the improvement in performance and graphics is going to cost a lot more next generation for minimal improvement. We are at the top of that curve. I dare say console makers and developers are going to find more original ways to try and distinguish themselves from the competition, perhaps some kind of revolution... ohh wait.
Secondly, Crysis was a game that broke the bank in terms of production values, it went above and beyond conventional business practice in the videogame industry, not only that but it was on the PC, a system which the game can max out no matter how powerful with current technology while consoles will struggle to do HD resolutions even next gen, I bet... The game had open wide environments, realistic yet stylised visuals and flexible mix and match gameplay. All of that was met with mass piracy, the dregs of the video game industry who believe they deserve other peoples ideas for no reasons other than a lack of moral sense and arrogance. You wonder why people are experimenting with motion controllers? Because we have hit the glass ceiling and it isn't feasible to keep trying to push the boundaries in the conventional ways. Nintendo obviously wanted out of that folly, hence the wii and market share.
That's my shepherds pie, anyway.
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