this is a really interesting idea however it has at least one flaw:
most people have computers that can boot off the cd and can get the same hardware outlined on the site.
if you want to homebrew self booting cds to freinds and run little games on them thats cool and it would be cool to have a console to do it but the bussiness plan doesnt look too good.
in other words there is a reason people are paying hundreds of dollars for new consoles and quite a bit for games as well. you can call it a stranglehold on the market or you can call it well developed games running on proprietary standards hardware
