Microsoft is in talks with Taiwan-based Silicon Integrated Systems (SiS) on potential orders for a south bridge chip for the Xbox2 game console, according to high-level SiS sources.

Some market rumors reported that SiS had already landed the order, but company sources declined to confirm it. As the Xbox2 will not be released until 2005, it is still too early to say anything for sure, the sources said.

Read more: Digitimes.