1. I figured MS wants to set the xbox apart by it's useability with Kinect to control tv apps. So it would make sense if the xbox mini came with Kinect. Maybe there will be 2 sku's.

Yeah I think the mini will come with 2 sku's.

2. Seems logical, but that means it's quite a lot just to be able to play a few 360 retail discs. I move my consoles around a lot, it's easier to have 1 device that does all. Hopefully this doesn't mean that the normal full 360 doesn't get discontinued. I'll stick to full 360 for bc if that's the only value it adds to Durango.

I don't think the normal 360 will get discontinued. Why stop something that will still sell decently for a while longer? And that is quite a lot just to play a few 360 games on the Durango. However, those people are in the minority; most won't care and I'm sure they will be able to find it cheaper than $99 in the not so distand future.

3. Combining storage space would be a good reason to get an xbox mini, depends ofcourse on the hdd size if it's worthwhile.

If the mini has 500 GB HDD, I might get it to complement the Durango's storage (if that's a possibility).

4. Well I still have a bunch of HD-DVDs. It would be nice if I can view them on Durango, as before just easier to move the drive between rooms instead of the whole system.

I hear that

Another good reason for the xbox mini is a cheap media extender. If you can put it in the bedroom and access all the same movie/tv content (stored) on the Durango it sounds like a win to me. That should be possible if both have 5ghz wireless N.

That would be a very awesome feature. Here's hoping.

I'm on the fence. A split console can offer some really cool benefits, on the other hand 2 consoles stacked on top of eachother is ugly. Hate that external HD-DVD add-on. And please don't both come with an external power brick as well.

Jeeze. Well take it from "the american". It isn't the same.

this is an interesting rumour, but what im more curious about is how this will affect microsoft golden wall, if microsoft thinks its going to compete with apple, roku, ouyo, and host of other streaming devices and still require a gold membership then i dont think they will be very successful. it must have something strong enough so it can stand on its own without the selling point of it allowing bc, or it needs to remove its cost of entry, this rumour makes me think we will see a more advance tier system from microsoft, one tier free for streaming services, another for paid tier for gaming services, and a premium tier that includes xbox music, an agressive pricing strategy and microsoft could be sitting on a winner, again if the rumour proves to be true.

I still lol everytime I see you sig

It's only been my sig for a few years now. ;-p Hard to believe Vs. still hasn't been released. ;-p