slowmo on 02 January 2013
It will use Bluray.
HD-DVD wasn't supported by Microsoft, it simply used their codecs and I'm guessing the 360 HD-DVD drive was built as they didn't have to pay expensive royalties and the drives were cheaper to manufacture. It may also be that they wouldn't be allowed to use Bluray without having HDCP which wasn't available on the original non HDMI model 360's.
The reason they will have the Bluray drive next gen is the disks are far more resilient, they'll want to further push into the media centre market and finally the faster speed of modern Bluray drives make them a sensible format to choose now.
