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@Soriku
the article mentions these things as well.

The article also claims Toshiba and Microsoft have explored the idea of including a dual HD TV tuner, electronic program guide capability and a newly-standardized mp3 player docking port.

If the article is accurate, the two companies have also kicked around the idea of creating an "open standard chassis system that allows an Xbox to be slotted into a HD TV screen over 40-inch. The open standard bays will allow hard drives to be upgraded and expanded similar to the way that users can upgrade the hard drive on a PC."