He also said Microsoft is teaming up with Apple to do something with the new system. Which I thought was very strange but if Sony is going to use the Vita kind of like a controller I can see the IPAD being used in the same way.
That would be a terribly stupid idea. Playing an Xbox game on an iPad sounds about as easy as pulling your own teeth. Even putting aside the unrealistic probability that Microsoft would team up with Apple. If I were them I'd forget about trying to beat Sony there (since there's no word of Microsoft developing any handheld gaming unit like the Vita) and focus on something else. It's only a limited number of PS4 users who will also purchase a Vita anyway.