I'm just thinking...
Since M$'s reason for all of this security is making sure people don't pirate games because they lose money, and need money from licensing to recover their +$100 loss on the system hardware, do you think we (i.e. the modding community) could petition them to sell a Linux ready 360 for a higher price?
Like, the system could be manufactured to have a dual-boot:
One mode would be a stock 360 mode for games, Live, etc., and would activate when cold-booted or selected from a menu at startup
The other mode would be a Linux mode that could run unsigned code, but wouldn't be able to access XBL servers
Or, M$ could make a signed Linux installer "game" and sell it for like $100.
I wouldn't mind paying +$500 for a console I could use like a PC (especially since my PSU in my comp just blew and fried my mobo).
It's too bad this would probably never happen with M$...even though Sony did something similar with the PS2 (released their own mod kit).