Actually a good buddy of mine is one of the more derpy folks you could run into, plays nothing but assasins creed 3, madden, fifa, nhl games etc.
He won't be getting one of these new consoles because of the internet connection.
Shit, he doesn't have a landline or cable TV and the only reason he has an internet connection at all is basically netflix and downloading movies. If the XBox was a bit more open so you could use it as a general purpose entertainment center and print the odd PDF or something, connect, say, USB external drives to it etc, he'd probably never own anything else. Unfortunately its severely crippled when it could be a lot more.
This is in fact his new thing, when he needs something new. is that he's having me build him an HTPC that can run games etc and be upgraded as necessary. I'll hook an xbox controller up to it and he can play all the sports games he wants just as good as if it was an xbox anyways.
I think the major problem with consoles right now is that the companies making them are dealing with increasingly tech-savvy customers, even the derpy ones can handle an HTPC, and EVERYONE has that one techie friend they can just ask a few quick questions to now and then. The companies are stuck in the late 80s/early 90s mode of development though, where they're constantly trying to break things down into smaller chunks, make them simpler(which is still a good thing, within reason), and maybe then tack on restricted/broken added functionality.
When someone is looking at their phone and going "Well shit, I'm already paying the bill for this, it plays games which keep me entertained enough, and it does email/netflix/online banking/etc/etc" what the fuck are they going to buy your restricted-to-the-point-of-being-broken console for?
I think MS really missed the boat with Windows 8, they shouldn't have been targeting the tablet/phone market with it, they should have targeted the living room.