Pretty late in the game to be copying Sony's strategy of reducing the size of their consoles.
I wonder how this will effect the red ring issue, a smaller box will make it even hotter.

They are already building the next console the same time they are working on this. They are just cashing out the people who hasn't bought a 360 yet by providing enough incentive. By the time people buy one, they are already rumors for a 720.

I don't want to get into a PC/consoles flamewar, but it's just a matter of choice and preference.

PC gamers are often more knowledgable about computers in general, so they'll use that knowledge to get the most out of their systems with the freedom of hardware configuration. Console gamers are generally more casual persons, and they just want to focus on the gaming part without having to manage the complexity of a computer.

To each their preferences. It's PC all the way for me.

Dude... new technology is what makes manufacturers make slimmer and cheaper consoles. For as much as they would like 4 years ago this couldn't even be dreamed.

I always thought PCs were more powerful, but I suppose Consoles work out cheaper in the long run. Considering you dont have to upgrade your graphics card everytime a new game comes out.

I think that's more than enough reason why they'd want to slim it down a bit. Whats wrong if there's slim model I can't wait hopefully this is in the works, I hope they change its hard drive I hate the current and that its can't find the word I'm looking for :/ but it only being for the xbox360 and not like the PS3 that is using Laptop SATA Hard drives.

This slim model, in my opinion, is just a trial to copy off of Sony when they made their Playstation slim models.

Just a way to save space. I think this is a greener way to make a gaming unit, however.

Maybe i would consider if it had a blu-ray drive too

More hardware as yet unconfirmed. If it is in development, I expect it sooner rather than later. I'm not into consoles, but I'd try to wait if I could.

What if they are sliming down the internals to make room for a PSU or what if they are integrating somthing else there is a PCI-E bus that could be tapped into also.