Well firstly SA were clearly the better side last year, any view to the contrary IMO is simply lacking in objectivity, SA were by miles the better side on paper and they almost lived upto it.
OK I'll admit India were lucky at Lords, but I don't buy the bowling attack stuff, India didn't bring Sehwag ffs (dropped after one bad series, ridiculous for an opener averaging 50+), and anyone in the Indian set up could have told you Gambhir should have been playing ahead of Karthik after the Ranji season he'd had. Tendulkar got some absolute shockers in that series (and in the ODI series that followed), I remember when India were last in Australia Michael Slater was overheard in the comm background asking Ian Chappell 'how the hell didn't he score runs in england?', Chappell replied 'he got some shockers'. No Flintoff, ok, but he hasn't produced results since 05 and back then he would have batted at 6 which frankly weakens the side, also the Zaheer was swinging the ball all over the place so not too sure how useful his batting would have been apart from the final test. Hoggard was in decline by that stage too. Thought tremlett was quite impressive in patches in that series.
I agree that England have a much better chance this year than usual but that it's mostly because of the relative weakness of the current aussie side. I don't really think this England side is much improved from previous years, when all's said and done, only Pietersen and Strauss have walked the talk against top sides, Collingwood won't cut it against this attack unless it's on a featherbed. Still not convinced with Broad the test bowler, though his move towards his old action has improved his wicket taking ability, still don't think it's enough to make him average sub 30 in tests or even close. Also I'm pretty sure it's just a matter of time before his current action get's him injured, same goes for Anderson. I think Sidebottom will struggle against the Aussies, especially if the suns out. Swann is the man for England IMO, he could prove to be their trump card. Think Prior will be shown up for the bully he is, I'm convinced that he'll average sub 35 this series, probably sub 30. Strauss vs Johnson should be a really good battle I think, people are talking up Johnson vs Pietersen but I think it might be Siddle who troubles him the most.