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I'm not sure if this is 100% true, but it's from Tom's so take it for what it's worth:

 http://www.tomshardware.com/news/xbox-blu-ray-360,5272.html

That's quite a turd, imho, but I understand Microsoft's business movie, as they probably want to blunt the impact of BRD movies on the console war in the coming years...the question is...can they keep the console cheaper and still get this done?  I guess a BRD add-on is also waiting in the wings.



"...You can't kill ideas with a sword, and you can't sink belief structures with a broadside. You defeat them by making them change..."

- From By Schism Rent Asunder