Not going to happen.
1. They could never put 360 games on a bluray disc. It would not work on the 18m 360's out there now, no company would make that decision.
2. It would raise the cost of a 360 too much. They need to be a solid price point lower than the PS3 to stay competitive. Hell, the arcade probably needs to be a solid price lower than the Wii for the same reasons.
3. Bluray HD movies just are not enough of the market share for MS to push a add-on for the 360. Right now they have a more financially reasonable solution with DLMovies. They already lost money with the HDDVD add-on and are now trying to stay profitable for the remaining 3yrs of life the 360 has in it.
I see the next xbox and ps3 being bluray players. I don't think Nintendo will though. I bet they will have a proprietary disc built off of red laser with similar storage capabilities. See VMD.
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