wasabi2k: You have a really odd perspective - suits your name.

Windows Phone has never competed on hardware specs - Windows Phone 8 is building in the ability to use crazy powerful devices (quad core etc etc) but that doesn't mean we are going to see an S3/OneX hardware equivalent. 

What does Windows Phone not do now that so badly needs a massive amount of power to fix?

Docks? We've seen them offered for Android devices - but they were, in general, severely limited. I don't need my phone to have the guts to drive a 24" display - I will have a Surface or Laptop for that. I don't need yet another custom form factor to bother with. If my phone can use DLNA to play content on a display (smart TV, PC etc) then great. A dedicated dock is basically a wasted screen when not in use. Why sell a dock when you are already selling a product in that form factor that syncs content between devices (Surface).

Windows Phone 8/Windows 8 is looking really good - common platform etc, scalability and the features to bring it to parity with the other platforms where it is lacking now.

But it doesn't look like a shift in marketing position - they are selling an ecosystem, not hardware. People buying Windows Phones (and for that case most phones) are by and large totally ignorant or uncaring about the hardware underneath. Outside of the dedicated phone geeks - purchasing decision is made based on a combination of peer pressure and look and feel. Make your product cool and the sweaty masses will buy it.