Isn't that basically what the Mac Mini "aspires to be?" Rob Enderle over at Designtechnica seems to think that we'll be seeing an announcement for a product along those lines before the Summer's out.

"Microsoft’s Media Center remains, much like the pre-iPod music players, too complex and difficult to use for the broad market. By focusing on a great music experience first and the creation of a perfect general-use host for the iPod, Apple could probably light a fire under this segment and dominate it, much like they did the MP3 space."