While I said it would be a great idea, lets-take-a-look-at-the-big-picture analyst Michael Pachter points out that it probably wouldn't be in the best interest of hardware companies to integrate Xbox 360's into their hardware. This is, he states, because it would cause the price of the said product to increase dramatically (somewhere around $300, depending on whether we get a price drop or not at E3).

I can see where he's coming from, and agree that this will have something to do with it. However, as Pachter points out, it would help sell more consoles in such territories as Japan, and currently Microsoft is making money on every 360 console sold.

So here's a reasonable plan for Microsoft to follow: sell the licencing for as much as the 360's cost to make, meaning each TV or DVD player with a 360 built into it will not earn Microsoft a penny...nor will they lose a penny. And it'll only cost somewhere around $200, give or take, to do it.

That way, more 360's will be in the marketplace and people will pick software for it, thus fulfilling a feasible long-term economic plan. Then they could do that in Japan for even cheaper, and lose money, and get big companies like Samsung to back them up. Easy as pie.

Gamesindustry.biz