"A new report suggests that Microsoft's next generation Xbox will come in two very different models.

The first is the console we're all expecting, providing true next-generation gaming experiences, while the other will be a more affordable unit aimed at the casual market. The latter is said to use Windows 8 as the basis of its operating system, and won't be able to run the latest triple-A titles, but will support downloadable casual games from Xbox Live.

There's even talk of making it so that a phone could be capable of delivering a full Xbox Live experience. "
http://www.ign.com/articles/2012/11/22/report-two-versions-of-the-next-xbox

For months I've been saying the Vita should have been designed to do this exact thing...........
Sony is going to be in a world of hurt if they come upon 2013, and have to develop high end games themselves for 3 independent platforms (PS3, Vita, and PS Orbis). I wonder if they could reverse engineer Vita games' compatibility with the next Playstation, but I doubt it. SCE is basically dividing and conquering itself.