I'm kind of conflicted when it comes to this system. Part of me is a console purist, loves original hardware, and I'm not a big fan of emulating stuff if I can own something legitimate. But on the other hand, this is something that would seriously de-clutter my living room, and play games from other regions. Not to mention that a single HDMI cable would be extremely convenient.
Personally, I actually wish they'd take it a step farther though, and create a system that can emulate disc-based systems, since those seem to be the systems that fail the most often, and are most finicky. And I don't mean PS2 or Xbox, obviously, but if they could play Sega CD and games for the TurboGrafx16-CD, I'd be on-board. And if they did N64/PSX/Saturn, I'd be happy with that as well.
But for the time being, I think I'll keep my original hardware around.