Xbox 360 Blu-ray Rumors Return

More talks about an optional Blu-ray disk player for the Xbox 360 has resurfaced, however this time the rumors are (possibly) backed by Toshiba-Samsung.

According X-bit Labs, Microsoft contacted the company to produce the Blu-ray disc player for its Xbox 360 console. Previously Microsoft offered an external HD-DVD player, however once Toshiba pulled the plug on the format (story), buckling under its knees at the mercy of Sony’s might, Microsoft remained hesitant in jumping on the Blu-ray bandwagon, waiting for consumer demand despite its feud with Sony.

Now with Blu-ray as the standard HD format and snaking into more North American households, apparently Microsoft have given the green light to manufacture the Blu-ray player. So does this mean Microsoft will have to suck it up and settle on the BD-Java technology rather than insist on its proprietary HDi ? Probably so if the company wants to get the hardware out there quickly. Perhaps there’s a "happy medium" that both Sony and Microsoft can deal with (outside the inclusion of Microsoft’s VC-1 codec).

While nothing official has been released to the press, it is speculated that Microsoft will need to price the add-on device between $100 to $150 in order to compete with Sony’s PlayStation 3 (which has the Blu-ray player built right into the console).

Currently there are no dates set for the release of the Blu-ray player, however it’s highly likely that the device could hit retail outlets before the holiday season kicks off. Releasing the player next month would actually be ideal, coinciding with the release of the Xbox 360 exclusive game from Epic, Gears of War 2. Both products would be extremely competitive against the PlayStation 3 and even Nintendo’s Wii console.

Keep in mind that all of this is not set in stone. Microsoft may well stand firm with its HDi technology and take another route altogether. After all, Blu-ray is a Sony by-product, and admitting defeat by incorporating the enemy’s technology clearly isn’t a characteristic of Microsoft.

Update : Microsoft has denied the rumor of the Blu-ray peripheral again. ""As we’ve said before, Microsoft has no plans to introduce an Xbox 360 Blu-ray add-on," Microsoft told Edge (story). The company says its focus is on blockbuster games.