Update:
This rumor has been officially denied by the Xbox Marketing team. Please click here for the full story.
According to Digitimes, Microsoft could be doing what none of us expected and releasing a Xbox 360 with a built-in HD-DVD drive.
The report comes via Digitimes.com, who say that Microsoft has started to design a new Xbox 360 with the HD-DVD drive built-in, and is also starting the selection process in order to decide which Taiwanese manufacturers will be building the drive.
The Digitimes source also says that the new Xbox 360 version will be launched in the first half of 2007 at the earliest. Plans to release the external HD-DVD drive for the Xbox 360, which will be able to compete with the Playstation 3 and its Blu-Ray disc drive immediately, are unchanged.
Look out for more on this, including any official confirmation/denials/no comments, as it comes out from Planet Xbox 360.
