I honestly don't get the point of these discussions.
For one, those that complain are generally not the ones that buy. They are complaining about things they do not own and will never own. Why bother complaining about it then?
Secondly, the number one metric for determining what hardware to include is price. If Intel could make Sony a chip that was 3x faster and used 2x less power, but cost 5x as much, they would have still gone with AMD. The accountants work out how much money they can spend on internals, and it has to be within that. Within their budget, they need to get the most performance at the least power consumption they can.
Oh and the hardware has to be available a year before launch, or even earlier, so that game development can begin. This puts Kaveri out of the picture, which was too late.
So everyone saying that it should have had a 7970 and 4 x Bulldozer cores is missing the point - you would then be paying $800 for a console and no one would buy them.
Bulldozer cores are not as power efficient as Jaguar cores, which means that there is less power to give to the GPU. Bulldozer is extremely power hungry compared to Jaguar, and needs high clockspeeds to shine, which makes its power consumption worse. So it had to be little cat cores and not big cat cores, because big cat cores would have meant that, for the performance they wanted, power consumption would have been unacceptable.
The other thing to note is that fabbing the chip as a single die will eventually lead to cost savings. This goes back to what I said about cost being the most important metric. However, I would be willing to bet that AMD was not willing to fab another manufacturers CPU in their die, which meant that only AMD cpus were available. They could have gone Nvidia, but that would have meant using off the shelf ARM cores, which are generally not as quick as little cat cores.
If I had to guess why they both went AMD, it was simply because AMD bargained the hardest. They were willing to do the most work at the lowest cost, and could also get it to market quickly. Time to market is HUGE in consoles.