I'm already assuming this is where I will go next. Not next as in soon, but the next time I re-do the setup (in the next 1-3 years). It's really starting to look like there will be more convergance in the next gen of devices. It's already becoming obvious that the consoles are replacing the PC game market, as the overhead on PC gaming machine ($2K+) is comperable to buying a PS/XB and a 42" plasma tv...and it's getting less powerful now.
The next gen (after the coming next gen, so the gen after) will be more media-centric, designed to be less a gaming device, and more of a total entertainment solution.
Like w/ the HDTVs, I'm just waiting for saturation first, and happy living just on the edge of the past in the meantime.
The new XBOX 360 coming out this fall will have the Media Center Extender built in, Just an FYI if you are planning to update soon.
One thing about the Microsoft solution is they are using a tweaked terminal services for the media extender, this means you better have a beefed up server.
and the xbox extender is extremely slow (takes about a second to scroll from menu item to menu item), since its doing everything in software. lots of people have complained about this.