Wait, what? How is this possible? Microsoft has announced compatibility between Windows Media Center Edition 2005 and the 360? And they're saying that the 360 will act as a Media Center Extender and that the 360 can pick up HD and regular content from any PC in the house? That's crazy talk!
Nope, it's true. MCE 2005 is fully 360 complaint, which kind of tells you the real reason behind the Xbox in the first place—it's the perfect foothold into the living rooms and bedrooms of our fair nation. Sure, today it's all about Halo 2 and Ninja Gaiden. But tomorrow... all kinds of stuff on-demand and on screen. So, in a nutshell, the PS3 is a "gaming" machine and the Xbox is an "entertainment" machine.
Digital Entertainment with Windows XP Media Center Edition 2005 and Xbox 360 [DigitalMediaThoughts]