According to Mainichi-MSN, Microsoft is planning to release a new Xbox 360 version featuring an HD-DVD in 2006. Microsoft hasn t responded to the report, but I hope to God this isn t the case. The last thing Microsoft needs is a third version of their console.

The funny thing is that back when Microsoft first unveiled the 360 I interviewed a Microsoft exec who told me that the console would launch with HD-DVD. I even called back to their spokespeople the next day to verify this. Obviously this has been an issue that Microsoft has been back and fourth on for awhile now.

Update: IGN is reporting that Microsoft has official denied this news reporting saying that "There are currently no plans to release an Xbox 360 equipped with a next generation DVD player." I'm still left scratching my head about the whole HD-DVD issue.

Xbox 360 HD-DVD[Mainichi-MSN, thanks Higon]