You sure about that? 

Sales of the device have been steadily increasing along with sales of other streaming box devices from Amazon, Google and other companies. 

For example the Apple TV over the past 2 years has sold just what the Xbox One has sold worldwide and when you add up all streaming box device sales then they are certainly bigger than the Home Video Games Console market. Another example is that Amazon sold in pretty much the same amount of units in North America in 2014 as Sony PS4 sold in. 

Streaming devices are becoming ever more popular thanks to on demand services like Netflix, TV integration and screen mirroring from smartphones. Now I should mention that these devices sell to different audiences, Video Game consoles sell to gamers and streaming boxes sell to the mass market and casual gamers. There is crossover of course. 

A mini Xbox streaming device would make sense and be able to compete in that category. What a lot of people don't understand in this thread and across many gaming websites is that a suppossed Xbox Mini is not for them. That's why Sony released the PS4 and PS TV and why Microsoft released the Xbox One and now it's rumoured they will release an Xbox Mini. As the rumour states, the Xbox Mini is going to be aimed at the ever growing audience that buys a streaming box for smart tv, streaming, and mirroring capabilites on their Living Room or Bedroom TV set. The Xbox One is still going to be the choice for gamers but an Xbox Mini would go after more casual gamers who just want to stream media like they can on chromecast, Apple TV and Fire TV. Games is more of an afterthought and like the rumour said will be more for Windows Live games and such. 

Now whilst this rumour makes sense it's not going to be as simple for Microsoft to start selling an Xbox Mini and hope for the best. After all the PS TV has streaming capabilities, can play Vita and PS Now games and has a whole host of features yet it did not sell well at all and Sony ended up having to cut the price or bundle the unit in order to sell them. Microsoft really need to market this well and differentiate if they decide to release something similar because it will be a challenge going up against the likes of Amazon, Apple and Google who already have successful products on the market. So this product may fail from day 1. I do think Microsoft need to market this as a streaming box but also show that it's a Windows 10 device that supports a lot of Xbox features such as game streaming and cloud saves etc... That will help both audiences become interested in the device, especially in the U.S. market. 

So If this did come to fruition It's most likely going to be an Apple TV clone that plays Windows store games (not full XB1 games) but can stream XB1 & PC games. Primarily to be advertised as an Apple TV clone though. 

Thoughts?

You're making the classic mistake of dividing sales by years. For example did you know that 13 million of those units were sold in 2013 and 2014. 

"lightweight Xbox One that may only be for Windows store games and would compete with the Apple TV"

Its not really an Xbox One if it can't play Xbox One games is it?

That was my point. 

Mms will likely support this as much as Sony supports PStv!

Yeah same with Sony. I dont think their TV and Mobile Phone Division is doing well. Playstation is doing well, but even with that the PSVITA isn't doing well either. 

I am so sick of people comparing Roku players to home console systems. I would put money on it that a very small percentage of people even buy these streaming devices to play games on. People buy these players for Netflix, Hulu, and other services. The only people buying Apple TV are the diehards that spent a shitload of money on itunes and see value in an overpriced Roku player. This is comparing apples to oranges.

Hell, at least Roku can actually make a Wiimote look a like. The controller Apple put out for the Apple TV looks like shit and doesn't even have a dpad.

Once again (like others have said in the thread) Microsoft is late to the party of streaming devices. They might as well call it the Zune 2 and force you to pay for a xbox live subscription to even watch Netflix on it.

This is so true.

If this actually happens, I so called it.
I believe there will be an xbox mini, eschewing the bluray player for maybe just a dvd or nothing at all, and MS will also release a tv wifi adapter like roku to stream games from pc to tv.
The patents are all there.
I called this like almost a year ago.

The rumour has been there since the Xbox One was announced. 

Even before that there were rumors of a $99 digital only X360, I think codenamed Stingray.