I think that the direction MXM is going is just fine. As it's been stated before MXM offers more customization possibilities then any other dash. While BIOS flashing would be nice, it's not really on my list of must haves for MXM, because flashing your BIOS is only done every so often. If at all.
Each dashboard does indeed have it owns bells and whistles. But for me MXM is the creme of the crop. I've never had it lock up on me, aside from when I testing a new action script.
Then there is the human side of things, BJ is one man working on this all by himself. And he's takes into consideration all the other dashes (Encouraging someone to make a skin converter). And trying to get things like the "Orb" in MXM so skins can can be converted to and from. You don't see the other dashes going to these lengths. (cept Ava and their BoostMode but thats note really the same.)
While Avaluanch has IRC and Telnet, it's not really practical without a Keyboard, not to mention it's hard on the eyes seeing how tv resolutions suck compared to a pc. I'm not bashing Avalaunch though, just staing an opinion here.