I think you're too quick to give props to MSs vision while talking down GoogleTV.
Searching for content and then letting you choose which source you want it from is exactly googleTVs promise. Now, is it perfected? No. Hell, NintendoTVii does this but its also not perfected yet.
Google's setback is its divided approach. It started with android, googletv, and chromeOS. Well, technically android was also split when moving into tablets. However, a year later that was merged. This year googleTV is being merged with android. Do you know what happened when they merged the tablet space? Google launched the $199 Nexus 7 and later the 10. Both do very well considering they are not available in most retailers.
What do you think will happen when the latest version of android is merged with GoogleTV and a $99 settop box is release that does not include an additional service fee (ala Live)? When it has the power of GoogleNow and cannot only search all available content seamlessly (use Google Now on any capable phone) but also literally predicts what you want to watch.
MSs focus on this TV internet bridge is fantastic. Its exactly what I said would happen a year ago about this generation of consoles. However, its not going to be that end-all disruptive feature that forces the mass consumer to spend $400+ on a GAME CONSOLE.
See that's the issue. While the gamer on forums will bitch and whine about the "casual TV focus" of various presentations, the mass market will always see "xbox" as a game console first and then that massive price tag. Then they'll look at their various phones and tablets and say "meh, I'm good."
Meanwhile Apple and Google will perfect the same service they've been slowly building up and sell it for $99, blowing MS out of water mostly due the fact that they can build of the established massive iOS and Android bases. In order for this to be truly MSs super feature (which it is a great feature I think), MS will need to put out that rumored TV only box... for cheap.
So to the OP, yes its a very awesome feature, however the delivery mechanism is going to cause it to fail for MS.







