My desire for Apple to release some form of gaming console is fairly well known, it's something I've never been shy about even though so many gamers are violently opposed to it. I would welcome the innovation that would be introduced into the console world with open arms. The thing is, I realised the other day that they don't need to make a console, they just need to make use of things that they already have.
If Apple made a controller, with analog sticks, triggers, the whole shebang, then all they would need to do is get some games that support it and they would be set. The graphical power of the iPad is astounding and it isn't too far fetched to imagine it not taking long for it to catch up with consoles.
Then all they'd need to do is bundle the controller with an iPad and Apple TV and you'd be set, console revolution here we come!
Regardless of what your opinion is you cannot deny a) that the App Store has changed the way games are distributed and b) that the iPad could easily have the power to be as good as consoles.