In all honesty I'm still confused about whether or not Kinect can/cannot be turned off. Do they mean you can go into the options and turn it 'off' and still play games, use the dashboard and video features etc just fine. Or do they mean that you can turn it off but half the consoles features and games stop working ? If it all works ok with it turned off then why the need to have it plugged in, surely it wouldn't be much of a stretch at that point to just allow the console to function without Kinect, and maybe offer a cheaper SKU without it bundled in.
Again, MS see the Kinect as an integral part of their future vision, so they want to make sure everyone has one. Why offer an SKU without Kinect if this is the road they're going down?