Unlike the empeg, this HP thing actually looks ike just a NORMAL PC though. Hey, I've had devices like that at work for a few years. Home-entertainment PCs. Dong all sorts of things, from PVR to HDTV, etc. All sorts of prototypes of all shapes, sizes and functions. Some products were released by various companies and then just a lot of reference designs. Most everything based on standard PC parts inside a consumer-oriented case.
Anyway, unless the descirptions on the HP site were a little incomplete, it doesn't sound too great to me. It's a little limited and the software didn't seem that revolutionary. Read the ReplayTV press material for something that packs a little more oomph. :)
I hope these devices do sell. Especially if they have adequate turn-around to promote next generation parts when they hit the market. Unfortunately, at $999 I think it's a little steep for someone to consider it to be a stepping stone. ANd just from their web site, I get the gut feeling like it's a project they'll kill sooner than later unfortunately.
Bruno