Alright, I just read through all this shit and I'm already tired. Ultraviolent, your arguments have been proven wrong already. The Xbox 360 Slim exists, making a smaller version of something is not copying anyone, and Microsoft is not copying anyone by producing the new technology of the Kinect. It may be slightly like the Eyetoy, but this technology is far improved, and if Sony had any problems with it, they would have sued already. Same goes for the move; its the same concept of the wiimote, but seemingly improved. As for Microsoft stealing "Legends" (lol), Sony or Mr. Jaffe do not own the rights to the concept of a combat car game, and to be honest, reading Scrap Metal didn't bring Twisted Metal to my mind, and could just as easily slipped past the developers mind.
Also, as for your video, its probably video cable related, the xbox makes those rings when turning on and doesnt detect that video is being shown. All so very internet related as well.
That is all.
Edit: Me and Ravager seemed to post at the same time. Also, Ravager, I +repped you :V