Microsoft could be planning to launch a $100 gaming console in time for the 2013 holiday season, according to the latest leak from prominent rumorist MS Nerd. If true, this new console would push back the release date of the next generation Xbox 360 into 2014 or beyond.

The Xbox Lite, previously known as the Xbox Loop, is said to feature an ARM processor but other specifications on what make it so cheap are unknown. It's feasible to think that the Lite could ship without a hard drive and rely on cloud storage for games and saves, but that's pure speculation on my part.

MS Nerd claims that the Lite will still be able to play games, media apps and uses the Kinect motion-sensing device. VR-Zone suspects that Redmond could be prepared to take a financial hit on the console to fend off competition from other manufacturers.

The Lite would effectively push back the launch of the Xbox 720 (also called the Xbox Next in some circles) to at least 2014. Microsoft has already confirmed that they won't be showing any new Xbox hardware at this year's E3 convention which led many to believe it would happen at E3 2013 instead.

Tech Radar lists this rumor as "possible" on their rumor meter, although they further point out that MS Nerd is just some guy that speculates on Microsoft rumors and doesn't actually work for the company. As with any rumor, it's best taken with a grain of salt.