It's like Nintendo made a console that can run Java natively (yes there are processors running Javainstructions) and made all their games in Java. Why would I buy that console then? I could just as good buy the controllers, plug them in my PC (with adapters) and run the games on that (because Java works on PC).
Well C++ works on your PC now doesn't it? And yet you can't run a gamecube game, a ps2 game, an xbox game etc on your computer without an emulator..The games are made to work on just consoles by using their own custom libraries and whatnot to the language.
C++ compiles to native code of ONE architecture (x86, ARM, MIPS etc. etc.). Java is meant to be emulated everywhere, but C++ not. See, actually I don't even have to have a PlayStation, since I can put PS games in my computer and play them through an emulator (For it to be legal though, I'd have to pay Sony for the BIOS in the playstation since I can't own [have a license for] that unless I have a playstation), and it is still compiled in C++ (same with cartridges but now the price for backupdevices and the hard work seems to just make it pointless, no?). So it wasn't the language that made my point, my point was that you can play it on other systems already so why should you buy yet another system?
Okay, forget the idea of us using Flash. We're going to be writing games in some language else. Probably Python or C++, since I can't find anything easier to learn. And then it would be just like any other console, but less power and cheaper games.
1. Python is also crossplatform. Anyone running a pythonexecutable on one platform can do it on another. That means, if you release your games on a CD with Pythonexecutables someone can copy them over to their PC and play them just as good there (without emulator).
2. Actually, since your hardware in this console is so very like that of a standard PC (Intel processor, average graphicscard, CD for games etc. etc.) I could just tell you that C++ wouldn't be anything different either. Just see my example with Playstation. If let's say, you have Linux as OS, and you release games as Linux executables on CDs (and maybe with resources and stuff, either embedded in the file or external) someone could just install Linux on their PC (if they haven't already) and run those executables from their PC (without emulation)! Now, if you use Windows as Operating System (like some "cheap" Win98/2k or something), it will be even more easy since like 80% of your users (at the very least) use Windows
If you however use raw x86 instructions, it could be trickier, but probably people would just have to place the CD in their drive and go to BIOS options and choose to boot from it and voila; your games boots on a standard PC without emulation, yet again!
Please, follow my advice: just forget about the idea of making a console. Make your games and release them for the PC. Don't force people to buy another PC if they don't want to (or have to xD), because that's just what your console is; another PC. If you want to make a console you have to make something UNIQUE. And that means, among other things; that you shouldn't just put in standard computer components.