The dog in Fable 2 is legit one of the best dogs in a video game though. It wasn't annoying, it had personality, and it was actually helpful (finding treasures, etc). I wish other games had a dog mechanic as good as the one in that game. Yeah that "100 heroes" ending would've been cool, but for me personally, I'd rather have a cool dog that is used throughout the majority of the game rather then just a cooler ending bit that makes up a small % of your actual gameplay.
I know Peter likes to promise things and go off on wild "lets do this and this" features, and while as a developer that has to be maddening to have to constantly change things or work on something different, it's what made the Fable games stand out imo. The whole "morphing" feature of your character throughout the series via your stats, your alignment, etc, that's something that even new rpgs don't really do.
This is why I think there's a chance "Fable 4" becomes a new IP, so people will be able to judge it as it's own thing rather than be held back by certain expectations fans have for the Fable brand.
I mean I'm sure it's going to have some new things to it, but imo it'd be crazy if they go off and just ditch EVERYTHING that made Fable well Fable. Like the main things that it "needs" to have for fans of the series are:
1. Morphing mechanic for your character (and dog if you have one) which is affected by stats, alignment, etc.
2. British style humor.
3. Real time actiony combat.
Apart from that I think they'd be free to do whatever they want. Personally I'm hoping for a true open world now (that's what we thought we were getting when the game was Project Ego), and more in-depth npc interaction with dialogue choices, etc.