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I am more interested in see if this rumor is true what does MS get out of it. MS is a for profit business first, so if they are not getting profit, if they cannot sell the nextbox or have the console installed in as many homes as possible so they can sell you their content, then it doesn't make business sense.

Its not like there isn't a lot of evidences that the world is not ready for a console that can only be used if its connected to the internet. The always on always connected I can see that and I agree there are some benefits to a console always being on and connected. This actually will be the same model that the PS4 is using and there isn't anything bad with that approach.

What I would like for people to do is to separate the two issues. The one that I believe people are concerned about is that the console must be connected to the internet in order for you to use the console. These are two very different issues and only the later where I can see that as being bad.