I think people are dreaming to expect double storage space and June Sandy Bridge updates and it is possible it will be Ivy Bridge in early 2012 before the MBA gets an update. Many of us long time MBA users realize the updates come a lot farther apart and are far less dramatic than people hope.
I think the 4GB RAM might be the only hope at an upgrade for same base price, but I doubt 8GB would be an option even then. Unless Apple can find a way to put RAM slots in there I think we will be stuck at 4GB for a few years until another major refresh. Us original MBA fans, like myself, bought three MBAs with 2GB of RAM each time hopeful for double upgrade... it took a redesign to make it happen, and time. Yes, we all want 8GB but I believe it is unrealistic to expect.
I don't think Apple could keep the price $999 in the 11" and double the storage space as NAND Flash is expensive stuff and it isn't going to happen with less than eight month update. If the update comes in early 2012 it is a lot more likely to have the larger options and double current size as standard.
I do fear the update could come faster this time, but unfortunately I believe it is just because the C2D production situation and that Apple is being forced to stick us with Sandy Bridge and their lackluster IGP. The Intel IGP is a step backwards from the 320m, so I really don't get why people are so proud of Intel and Sandy Bridge??? I think most are better off with C2D and Nvidia or at least waiting for Ivy Bridge.
I think the Thunderbolt will make it into the MBA update, but I have read it requires a large chip. The opportunities are so great for this new technology that it seems like it is Apple's future so it should make it into every Mac and probably even iOS products.
I don't believe the backlit keyboard will make it into the next update as Apple can use it as bait for the following update while the next one will feature Sandy Bridge or Ivy Bridge faster CPUs. I also think the FaceTime HD camera helps Apple along with Thunderbolt to improve the MBA enough to get many people to update... When considering the speed boost in Core i7 CPUs, that is a huge selling feature that most will jump at ignoring the fact that the MBA is so great currently without a fast CPU proving the CPU isn't the only factor of computer performance like Intel would have its sheep believe.
I doubt that I would update with a mid 2011 Sandy Bridge "upgrade." I would prefer Apple just make a better update in early 2012. It would be great if Apple could do two updates, but us MBA faithful have learned to bet against those updates when it comes to the MBA.
If there is a Sandy Bridge update I would almost guarantee Core i7 CPUs in the 13" MBA. The current C2D used in the MBA is a top of the line CPU and the replacement is the Core i7 series, and that is where it will stay. I always laugh at the people saying it will get a Core i3 at least not really realizing the history of the MBA processors. In addition, the speed boost technologies are only available in Core i5/i7 and Apple wants to be a part of that too as evidenced in even the low-end 13" MBP.
Finally, I know I am dreaming now that Apple has stuck its 13" MBP users with Intel's IGP but why cannot we just get an AMD CPU/GPU solution or a discrete efficient AMD discrete GPU paired with Core i7 CPU? I know space concerns, but with the CPUs shrinking and everything being nanoscale, hopefully it is a possibility sooner than we think.
Even then probably costly, but I remember a day when the MBA was $3099 with a 1.8GHz CPU, 64GB PATA SSD, and 2GB DDR2 RAM. That wasn't that long ago. Even before the June 2009 update it was $2499 for a 1.86GHz 13" MBA with 1.86GHz C2D, 128GB SSD, and 2GB RAM. Now a high resolution display along with 4GB RAM, 2.13GHz C2D, and 256GB NAND Flash drive is only $1799 or low end is only $1299 and the new low end plus 4GB RAM is only $1189 refurbished. These are amazing deals, and it really makes me wonder why people are so cheap to do the RAM upgrade.
Happy waiting for the update...