Microsoft is getting itchy regarding Blu-ray on the Xbox. While from the very beginning they said it was a no deal, rumors started creeping up about it again this year when comments at CES from MS staffers alluded to them considering it.
That's simply not true, says Microsoft, and in fact they still back HD DVD as the choice optical disc. That must make Toshiba smile, though even Microsoft admits ultimately it is in the hands of the consumer. According to them, should HD DVD fail, it is a consumer choice and they will have to follow. In the interim, they have no plans to support Blu-ray. This comes despite big players like Warner backing down from HD DVD.