EliteBastards.com have an interesting write up that talks about how well the 360 stands up to next-gen requirements. What did the original XBox to right and wrong? What decisions have gone into the development of the 360? Well worth a read for console fans.

Clearly my impression of the Xbox 360 is that it is positioned to compete significantly better in the next gen console race than its predecessor. The difference this time around is that although Microsoft will no longer have the decidedly most powerful console, they also won't have the most expensive console, and believe me, they will compete on price. The Xbox 360s media (DVD) and input device (gamepad) are safe choices and the CPU may be merely adequate, but the GPU is quite potent and should go far in keeping Microsoft's box in the same league as Sony's overall despite the disparity in time to market."