Rumours were circulating today that Microsoft is set to dump HD DVD and bring out a Blu ray Xbox 360 by as early as May 2008.
Insiders at Microsoft in the USA have told SmartHouse that Microsoft have already configured a standalone Blu ray player that can be connected into an Xbox 360 and that subject to internal marketing and sales approvals the model could be on sale within 3 months.
The Company has also been working on a built in Blu ray player however insiders are claiming that Microsoft see the HD format battle moving online with consumers offered 1080p movie and content files as a download as opposed to having to buy a HD or Blu ray DVD.