http://www.gamespot.com/pages/forums/show_msgs.php?topic_id=25520244 So if current 360 owners aren't buying the Elite, and the PS3 is clearly a better value to the new console shopper, then who is going to be the 360 Elite?
I honestly think this elite is in more competition with apple tv and itunes. MS wants a huge part of apples itunes income. So far the apple tv has been selling like hot cakes even tho its meh, ok. With MS iptv going into full swing soon they want to take a huge bite in to digital media like apple has. But thats just my opinion.
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