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I decided to bump this thread due to Microsoft's 56 page slide show that proves exactly what I'm saying.

http://gamrconnect.vgchartz.com/thread.php?id=144506

In case you missed it, recently a powerpoint presentation from 2010 has leaked on the net. It foreshadows everything MS has done in 2011 and 2012 (smartglass) and gives a good indication of their plans for 2013 and beyond.

Slide 7 is very interesting as it talks about (in 2010) MS concerns of their competition to "Xbox 720". It specifically labels AppleTV, OnLive, GoogleTV, Wii2 (we now now is Wii U), and PS4.

It focuses on not only gaming, but all the other enhances services all these products provide. Smart TV, streamed gaming, price estimations (wiiu @249 and ps4 @399), and in particular it also list PS4 as having GoogleTV integrated.

Basically, MS is assuming the EXACT same ideas I've laid out in this thread/OP.

Then on the next couple slides it defines the experience 720 will offer. Kinect 2.0, full smart/Win8/Metro vision, DVR functionality, low cost (299), 6x increase over 360 (what I've been saying), i.e. essentially making 720 NOT a purely dedicated console, but a smartTV type device that also has strong gaming applications.

I won't make my "I was right all along" thread just yet as this document was their 2010 overall gameplan and it will be altered before 2013 when 720 launches. However, I think at this point many of you naysayers really need to think outside of the box and see what is clearly headed our way for next-gen.