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MakeAmazing said:
I guess what I am saying is that the none CD-drive Xbox will not be a competitor to the Apple TV.

The Apple TV is ok, would love to know its sales, but would suspect its mostly apple fans that buy it. I've considered it, but its not an essential under the TV device right now. I don't see the Xbox competing for that space any more than it already is... if you see what i mean.

I dont want yet another device under my TV, if i can watch say Lovefilm, use the console as a stream device and it plays Blu-rays, that for me at $149 (if they go that low) is a much better sale of device than a $99 diskless device.

No device will ever appeal to everyone ;)
It's not about how you see it or if but if there is a market for such a device and only sales will tell us.