I don't like upgraded versions of consoles or handhelds, but I also didn't like a console generation being only five years long.
I'm cool with slim versions of consoles or larger/smaller versions of handhelds but nothing with games requiring the newer version of the same system.
I love the idea of "Pro" upgrades. Every game should have a baseline and a 60 FPS or high resolution option, similar to GoW. https://www.youtube.com/watch?v=6VB3aIdXu_U&ut=
I also think that 5 years is perfectly fine for new hardware. What I don't think is necessary at this point is complete architectural changes. Just try to maintain backwards compatibility across 2 generations.
I'm cool with console generations lasting 8-10 years. As a kid, five years felt like a really long time but now the impression is "A new system already? It feels like I just bought the last one!"
PS Plus is down to only two games now. One is a last-gen remaster, the other is an indie game that I'll never play. What a great value!
Spoiler:
PS3/Vita not being included anymore also makes it less appealing.
They upped the cloud storage space though! Now you can back up million of saves!