Contrary to popular rumor, Microsoft isn't planning to showcase their next generation Xbox gaming console at E3 2012. Company spokesperson David Dennis said Microsoft won't discuss new Xbox hardware at this year's show, leading two people with knowledge of the subject to speculate an E3 2013 reveal instead.

Microsoft seems confident that they can coax another successful year out of the Xbox 360, and perhaps rightfully so after 2011 resulted in the best year of sales thus far for the console. Bloomberg notes that the company's entertain division posted a 45 percent sales gain to close at $8.91 billion for the fiscal year ending in June. The 360 outsold both Nintendo and Sony in the gaming marketplace and even beat out other accessories like DVD players and home theater systems, according to Microsoft.

Aside from pleasing anxious gamers with a new system, there's really no reason for Microsoft to introduce next generation hardware this year. Redmond isn't feeling pressure from other manufacturers to rush a console out the door and the Kinect motion sensing accessory is leading the way for a whole new breed of games.

Furthermore, it's public knowledge that most consoles aren't profitable within the first few years after release. Michael Pachter, an analyst for Wedbush Securities, estimates that Microsoft is banking around $115 from each $300 Xbox 360 console sold. Passing up on guaranteed profit like that wouldn't be in Microsoft's best interest.