I very much doubt this.  They went from nvidia to ATI (xbox > 360) and this forced the software emulation backwards compatibility.  If they want to have all titles from the 360 to be compatible with the new system they will continue with AMD/ATI.  MS doesn't own nvidia there was a weird contract option that allows them to match any offers of a potential buyout, but the nvidia board can dilute their shares to stop a hostile takeover.  At least that's what I read. 

I hope the next MS console will allow more interaction with other devices and in order to do that they'll implement some sort of Windows 8 features as the GUI. Kinect will of course come bundled with it and maybe a new version of Kinect with better cameras and mics.

I don't think they need to copy Nintendo's WiiU idea they already have their own way of being completely different in Kinect. 399$ would be a better price than 599$.

I think it will probably come out in 2012-2013(likely 2013). I think there will be 2 sku's one with kinect 2.0 one without priced at 299 and 399 or 349 and 449. The 720 will initially be sold at a loss(id guess between 100-200 dollars worth) and will be noticeably more powerful than the 360. Id say by the end of the gen some games could look as good as the samaritan demo we saw.
I dont think they will abandon their core audience. I think there will be some kinect focus but also non kinect stuff halo 4(really hope it gets delayed for 720), 5, 6, gears, time splitter, mass effect mmo or something.

Multiple choice not available but it will have some form of innovation but ultimately it will be focused on power, Kinect 2.0, Social functionality and it will have a heavier focus on cloud technology.

For some reason I am finding it had to believe that it will be less than $500 or £400 on launch,, similar to the PS3 prices. The time that has passed(Around 5 years) have likely impacted the market in such a way that it's now acceptable to launch a console at that price, even the handhelds launch around that bench mark($300) so the consoles must at least be launching at $400+, imo.

Hardware will obviously be better, with integrated Kinect support most likely, they've hit a gold mine with that product and if it can be used at a later date - such as making it an outstanding feature from the other consoles or just a general all 'round good piece of technology, WITH core games this time round. I just hope that they'll have BC, but I find myself doubting that they'll miss that out.

E3 2012 is likely, but I find myself doubting that too, but it's too early to speculate, seeing as we've JUST had E3 2011.

I think it will be very powerful, with a solid state drive, and Kinect 2.0 (which will be a big upgrade.) And agree with most everyone Else's comments, cloud, social, lots of RAM, etc.

I hope it uses the, yet-to-be-seen, beauty of DirectX 12. DirectX 11 looks amazing, yet, I wouldn't want to be stuck too far behind with older tech as the PC's advance.

I'm also wondering if 4K TV are going to on the market at that time, and if the new Xbox will support the next leap to super high resolution (which will require a MUCH more powerful CUP/GPU's).

Also wondering about multiple monitor support - their driving demo at E3 with 3 monitors looked really sweet - image the feeling of Halo 4 with 3 monitors.

I think much will have to do with how Kinect sells in the next few years and how far they want to push the industry.

I voted "Kinect 2.0 and Social Integration Heavy"

It's what's been successful for them this generation, and I don't see why they would stop now. I just really hope they can try to include meaningful Kinect features in most mainstream/core games. Ghost Recon's weapon customisation and ME3's voice commands are a nice start.