Arstechnia- The successor to the PlayStation 3, apparently codenamed "Orbis," will use an AMD x86 processor with an AMD "Southern Islands" GPU, according to rumors emerging last week. Xbox 360's replacement, purported to be named "Durango", is also rumored to use an AMD GPU—either a Southern Islands variant or an equivalent to a Radeon HD 6670—this time paired with a PowerPC CPU.
Though these rumors are thoroughly unconfirmed at the moment, they're all well within the realm of plausibility. But if they prove true, the Orbis and Durango will be decidedly mid-range at launch when compared to top-of-the-line PC hardware.
The Xbox 360, launched November 2005, and the PlayStation 3, launched November 2006, were both cutting-edge systems at their release. Their capabilities were unmatched by PCs of the time. If these rumors are to be believed, the eighth console generation won't be a repeat of the seventh.