There are strong signs suggesting that, like with Nintendo’s Wii U, a tablet component figures heavily into the new design. That saucy Windows 8 Metro interface (now also seen on the Xbox Dashboard) just begs to be touched.
Personally I think this is a rumour you can ignore; after investing in Kinect the last thing Microsoft will be doing is offering another “innovative” way to control your console and your games. The 360 successor will likely have Kinect 2.0 built in and will (as it can just now) be used to navigate around the dashboard, so you can pretend to be like Tom Cruise in Minority Report (or is that just me?). What is possible is that Microsoft will incorporate a way to connect an existing tablet, be it an Android or iOS device, which then offers some control over your console.
Another rumour that did the rounds last year is that Microsoft will release two different models. One will be the basic budget system, the other the bells and whistles edition.
It’s worth noting that nothing has been confirmed and nothing will likely get confirmed until CES where it is again rumoured that the Xbox 720 will be revealed. On a side note can we stop calling it the 720; it’s just silly. I suggest we name it the NeXbox.