im pretty sure quadruple is an overstatement. I can see them using the xbox for all the heavy stuff in the game and merging your game with a cloud based system similar to onlive to do additional processing. but that would require a damn good internet connection to be on ALWAYS and would handicap the the system when you lost internet connection mid game. imagine if a dev chooses to do textures or lighting specifically for the cloud to process, and you little brother starts to youtube and torrent the living hell out of your connection. if this statement is as Im seeing it, then I see it backfiring horrendously.
if the way I see it is wrong, then ignore my comment xD