Telo, If you want to give me an idea for a better project, go ahead.
By the way, this is just the beginning, we plan to have a full release in the future (depending how this goes over) called the XIE, Xbox Internet Environment, which will include E-mail, Internet Browsing and the XIM client, integrated into one through a Tabbing system.
A few people seem to think this isnt a bad idea. I know it isnt the greatest thing thats going to be completly useful to the scene, but the main stuff is covered. I have no idea where to start for developing an Emu, and Homebrew Games are kinda lame. Porting is a tedious project, and this adds a new function to the xbox. Also, this is open source, licensed under GPL, so if someone wants to implement the code for this into something else, its readily availible.
The only place the scene is lacking more then the others is the Apps department, except for a few more feature-rich BIOS's, but no one on the team has the ability to do a project like that.
Like I said before, if you have an idea for something better, feel free to email//AIM me and I'll take it into consideration.
Edit -- And if you would have read through the posts, you'd know its going to have support for real keyboards.