Not gonna happen for IL. This is why.... Buy it for $200 or sign a 2 year contract. $25-30/month either way. If you stay a non-contract member for 2 years, you get your $200 back. That $30/month will get you standard content. So when HL2 and Doom 3 are released, assuming this machine can run them, will that be standard content? Hell no. Tack another $30-50 on there for that game alone. Thus you are left with $720 investment over 2 years with no additional content. How is this better than buying a PC or all the game consoles out right now?
Well, the hardware is faster then 90% of pc's out right now. Sure, you're not going to get DX9 features like pixel shading, but how many people will actually fork over $400+ for a video card that can anyways? Not many.
They will live and die by their subscription content. If the content is good, and the rental prices cheap, they have a shot at it. The last game that I bought for my PS2 was GTA3. Why buy? Renting is easier, cheaper, removes some risk, and who has time to play a large commercial game several times anyways. This also has the potential to remove some costs associated with publishing/marketing games.
Hopefully, if this doesn't work, a content system similiar to this one will pop up somewhere else and help small and indie game developers out. Did you happen to see the Quality of Life white paper published by the IGDA recently? Tragic. It's like being a porn star - Jenna makes a lot of money, but everyone else is just getting screwed.
Also, Kevin Bachus is President or something. The CEO is Timothy Roberts.
My bad. Keven Bachus, the President and COO, was one of four people responsible for the XBox.