I agree, there are too many tabs, options, file types, and programs on the PC.
If Sony plays their cards right, everything can run through the extremely simple XMB. This would give Sony the opportunity to tap into the home that isn't looking for a super computer, who wants to download music and videos, but doesn't want to deal with the hassle of programs, torrents, and 3rd party accessories etc.
The only barriers keeping Sony from overthrowing the home entertainment market right now is price point, and their lack luster Store setup.
If they expanded it to include their huge selection of games, movies, and music (rather quickly) then they could probably stand a good chance to take over the living room near the end of this generation.