Smarthouse claims Microsoft is working on a new Xbox 360 that sports improved multimedia features:
Recent GFK research reveals that the recently launched Xbox 360 HD DVD attach player is not selling well. Another factor that impacted early sales of the Xbox 360 was that Microsoft failed to include a HDMI port - omitted because Microsoft wanted to cut down the costs of the console in an effort to compete up against the PS3.
The new Xbox device, while allowing for extensive gaming capability, will be positioned as an entertainment hub that includes gaming and extensive wireless networking capability as well as 1080p playback. There is also talk of it including a dual HD TV tuner and EPG capability and a docking port for an MP3 player. For Toshiba, the device is critical if it is to be successful in beating Sony and the Blu-ray promoters.