Funny thing; as far as all the current liter bikes putting out as much or more H.P. as the Hayabusa, I agree that is true, but none come close as far as torque output, or at what RPM that HP is generated.
I geared my bike down a bit (+1 on the rear), and made changes to make it more touring friendly (adjustable pegs, helibars, windscreen, Suzuki comfort seat). Over-all, it's very close to the bike I would build if I designed it.
A few days ago I had a chance to take out a new GSX-R1000; and, although top end wise, it's nuts, I could not do a 6000 KM (4000 miles) tour on it, I'd die! The Hayabusa, on the other hand, easy-peazy. Much roomier, much more comfortable over-all (I'm too big for a race bike anyways), and, as far as roll-on speed on the highway, the 1000's feel... dead (at 100 KM/HR). Also, vibration... Damn! I'd be numb all over on a liter bike! The 'busa engine purrs like a kitten compared to those angry bees.
As for a new version... My vision would be updated electronics, trim about 40 lbs from the bike, and engineer that variable valve timing from the GSX-R1000 in too please for some added top end. 210 HP with 115 LB/ft of torque would be super sweet.
I do agree with others though; it's not all about power. For me, it's about rideability; reliability ('busa's are tough!), and likeability. Also, I think the demographics are significantly different between the liter bikes and bikes like the Hayabusa. I think we tend to be older and a bit bigger.
I'd LOVE to have a Gen III to look forward to; and personally, I think we are going to see a new version. Sleeker and sexier with an HP boost. I know I'd buy a Gen III in a few years time.
If not; I guess I'll just have to keep riding my Gen II. Chances are it'll still be in good shape in 5 years and still capable of tearing 90% of the bikes on the road a new one, and I'll be comfortable doing it.
Sugarbear