XBox only for games

Someone correct me if I am wrong, but while investigating what I would need to do in order to develop software for the XBox platform I came across rules or policies that basically state that Microsoft does not support the development of non-game software for the XBox platform.

However, I think many interesting non-game applications could be developed for XBox as well as other game systems. These applications could take advantage of all positive aspects of game systems such as graphics, controllers, display on tv instead of monitor, etc.

Imagine navigating through some highly visual document library or presentation using a game controller and a plasma tv.

Whatever....

Hive Art

Experiments in group "art" or group design have been attempted before, but few examples can be found where the anonymous group designs something simultaneously without an explicit "voting" type mechanism. What if the only voting mechanism was immediate visual feedback and a kind of free-form change by modification.

Such an experiment is being attempted at Theory Flux's Collaborative Art Project
Anonymous contributors can change a public color bitmap in real-time and see other's changes as they are made simply be refreshing their browser screen.

What else can the hive design?