I wonder what Redmond has planned for this lot. If they're looking at easier ways of getting content into the Xbox, well don't they already have that? Whilst its not great beyond MS's walled garden, it can be made to work.
If they're going after the home automation angle, then I'm sceptical about the offering.
The key information will be is it a closed system. What happens if you don't want to buy a Windows Phone? What happens if MS give up on the project after 5 years or the next best thing comes along?
What happens if your Xbox gets an RRoD?
..and so on and so forth.
I'll watch with interest, but I'm not about to get excited.