Steve Ballmer confirms Blu-ray for XBOX - Sort of... (UPDATED: MS now denies)

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UPDATE:
Official XBOX blogger Major Nelson has issued a statement that denies the blu-ray rumors:

During an interview yesterday, Steve Ballmer was asked about Blu-Ray and the Xbox 360. I wanted to clear something up. Steve was referring to Blu-Ray accessories for the PC. As we have said in the past, we have no plans to introduce a Blu-Ray drive for the Xbox 360. In fact, the future of home entertainment starts very soon when Xbox 360 becomes the first and only console to offer instant-on 1080p streaming HD movies. With a library of thousands of TV shows and movies to choose from, Xbox 360 owners can instantly watch the movies they want, when they want, in the highest form of high definition.

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Steve Ballmer, CEO of Microsoft, recently hinted a Blu-ray drive for the XBOX 360 in an interview with Gizmodo.

In the interview he goes as far as saying:

"Well I don't know if we need to put Blu-ray in there-you'll be able to get Blu-ray drives as accessories.

I think mostly the future of movies is on-demand, actually, as opposed to distribution via physical media," he continued. "So we're just gonna keep driving forward and try to make it the best entertainment - overall entertainment, not just gaming, but overall entertainment experience we can."

However, when the site asked XBOX spokespeople about the comment they said:

"Our solution for HD quality video on an Xbox 360 is coming this fall with Zune Video and 1080p instant-on HD streaming. As far as our future plans are concerned, we're not ready to comment."

So, there you have it. Sort of... =)

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