Food For Thought
If this turns out to be true and the next gen. consoles begin to monitor users in their own home in this fashion as the patient describes,
It will definitely be a massive invasion of consumer privacy.
IMHO it will be a
huge step in the
wrong direction followed by a
big question mark around trust issues for the company's involved and towards their respective brands.
For those of us who can see how dangerous it is for private industry be allowed to be let loose with their surreptitious surveillance techniques along with the ability to monitor us in even more greater (Hi-Fi, Super-Depth VHQ, Pixel-perfect, butt-kicking, Tera-flop, Digital, madness..) detail then this path of thinking will have the potential to become its a very slippery slope towards an even greater degree of the Big brother world we are all being
forced towards.
but it's all academic until MS or Sony, or whoever actually implement something. I seriously doubt they'd get away with that kind of plan and having such intrusive cameras in private homes
This may sound cynical (This whole post is a bit cynical

) but I think that comments like
"it's all academic" or
"they wont get away with it" is exactly what corporations, especially those with private interests want us all to believe.
You mentioned the exact word (above) "..Plan.." this is exactly what they do. Big players such as these have some of the smartest people on the planet working away in R&D labs, crunching away on their enormous "big-data" stores harvested from PSN, XBOX Live and the ilk.
They know what they
can (and can't) get away with. They have have had enough time to study, quantify, validate us and our habits. They have all the data they need to figure out how we
"Tick" They have the demographic information, Psychological profiles for their customers. They have the intellect and know-how to devise such devices, plus all the big budget funding to match.
The most frightening aspect for myself, personally, is that these to big to fail corporations have all audacity in the world to make this kind of stuff a reality and have the ability to carry things even further forward.
so they
would definitely induce a response from the legislature even if kicked off by class action lawsuits.
You would be surprised how powerful some lobbing groups are and how much influence they have over policy makers. (look at the Music / Movie / Food / Pharmaceutical industry's as examples)
As history has proven itself time-and-time again, its these kinds of bold corporate moves which are the exact things
we all end up with and is what
they end up continuously getting away with.
Slowly and methodically they get a small foothold into such things and their twisted ideas slowly become a reality.
One case and point that springs to mind:
Wasn't this the kind of thinking around the time when government first started
taking about a national CCTV system back in the 90's.
"One camera on every street corner"
It was said back then "Oh, its just talk.. it will never happen, blah, blah, blah.." and stuff like "The general public will never stand for it..." But look what happened in that instance.
In the UK alone there is now 2.805 cameras per 100 population !
Total CCTV cameras in UK = 1.85 million.
Source: CCTV User Group - March 2011
Now with the proliferation of CCTV cameras in public places ANY notion of
true privacy for the average
Joe Blogs in the street has almost completely gone. The sheer number of CCTV cameras has led to some unease about the erosion of civil liberties and individual human rights, along with warnings of an Orwellian 'big brother' culture. This is not something that can just "go away", Things are going to keep on getting worse with respect to our civil liberty's and human rights coming under attack from yet another direction and especially in such 'charged' times such as these where we now live in a climate of Fear and uncertainty.
- One could argue that in this climate of fear and uncertainty CCTV systems are a good thing. maybe? But where does it all stop, where should the line be drawn that finally says no more. do we really need a nanny-cam system embedded in our next gen. Console and pay top buck for the privilege.
Will users accept this type of intrusion into their daily lives?
Probably, Yes they will.
For the vast majority of people living in the "modern age" common sense and reason has been replaced with the sounds of shopping tills ringing out with those same people chanting the 'consumers mantra'
"Go shopping, la la-la Buy more stuff.. la la-la la Don't think too much... (about anything..) la-la Just go buy more stuff.." 
When it comes to
trying to keep up with the Jones which I suspect will be the case for many, with the notion of prestige which will come along with owning a shiny new PS4/XBOX Durango console will most probably out weigh any kinds of thoughts about potential subvert surveillance issues involved in owning one. This
will be true for most as they do not fully comprehend the implications of
how such technologies can/will be manipulated and exploited by these corporations if given half a chance.
Sometimes the "
Nag Factor" overcomes logic and reason and this is what
"smart" businesses have learned how to exploit this phenomena.
One final point which is kind of also related and something which I believe poses an even greater question:
How much of your (and my) data is already being Tracked, Tagged, archived, logged and sourced off us, every single moment we use our devices online (and offline) be it; browsing the web, searching the web, Social networking, checking mail, online gaming, streaming a film, Downloading and App or Music, Skype chats.
- I wonder what happens with all that data, who gets to say how it is used? Who makes sure our requests are enforced on how our data is used? Who monitors those people who are supposed to be monitoring them? Is it even possible for authorities to properly regulate it?
I wonder what will happen with all our Bio-metric data once XBOX Durango console has captured it all