Smarthouse:
"Insiders at Microsoft in the USA have told SmartHouse that Microsoft has already configured a standalone Blu-ray player that can be connected into an Xbox 360 and that subject to internal marketing and sales approvals the model could be on sale within 3 months.
The Company has also been working on a built in Blu-ray player however insiders are claiming that Microsoft see the HD format battle moving online with consumers offered 1080p movie and content files as a download as opposed to having to buy a HD DVD or Blu-ray disc."
http://www.smarthouse.com.au/Gaming/Console/J7L7H2R4
A Blu-Ray drive for gaming would be fantastic for cross platform development! Hope this is true!