The rumor is that the next Xbox will have a Blu-ray player built in.
Get out your scorecards: We have yet another Xbox/Blu-ray rumor.
Microsoft has been saying that it has no plans to add a Blu-ray player to the Xbox 360. Why? Maybe they still feel scorned by the whole HD DVD thing. However, Digitimes says that Lite On might be working on something to give those console owners that extra HD love.
Of course, it’s supposedly for those that buy the next version of the Xbox. Current owners, you’re out of luck. Although… who knows? This is assuming any of this report has a grain of truth. Microsoft is mum as usual. Why is everything so darn secretive?
Lite-On says that will ship the Blu-ray drives in the second half of 2008. Take it as law or with a grain of salt.

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They are secretive because if they say, “Yes, we have a 360 with Blu-ray coming this Fall” then nobody will buy the current stock and sales will tank until Fall.