That is possible, but a risky route. The image could take damage for such a move. But that is more probable, as the theory that one source got it right while others didn't noticed such a massive thing.

I personally think, they never wanted these rumors, but one got a message wrong (after all the source only says, that after disconnecting he got a message to fix network, not that playing was suppressed). But Microsoft possibly do not much to contain the rumor, so they probably want to take the rumor going around already as an advantage in the way you describe. Also it is hard to contain a rumor, see Streisand-effect.

Nah that was about what's going on TODAY not years ago. we got a rumor and then a creative director(or whatever) at Microsoft starts defending this rumor as if it was true. The other guy just made it seem like all MS fans are just sitting quietly waiting when I've sat here and watched MS fans react to this so I don't know what the hell the other guy was trying to get at LOL!

lol honestly the other guy was just trying to low-key go out of his way to find any opportunity he can to get some "get back" on me because I owned him(haven't used this word in a while) in another thread recently lol so that's all that was ;)

and I'm aware that us PlayStation guys are the devils of the net, we are the plague and we ruin everything.. I know

and I may be a Sony fan but ill be DAMNED if I'd ever pay for a $599 console

..got me all fucked up

I dont see how it will have repricussions for ms. the only ones who seem to care about therse rumors are people who want to use it "fanboy" wars. the general public doesnt care or even know right now. when they turn out to be false, it will just lead to people taking future rumors less seriously again. To be honest, all of this MS talk basically took the thunder from  the ps4 anouncement. All i have seen is thread after thread about always online etc. not too many ps4 threads like there where. MS advertising at its best again.

That expression people like using about how bad publicity is good publicity only works up to a point where it becomes toxic and counterproductive. Until Microsoft reveals the next Xbox and somehow minimizes the current perceptions about it, it's only going to get worse.

However the trick here is really about whether used games are blocked and an internet connection is required at all times. It's nearly impossible to shed good light on something like that and it will make their next console lose market share.

You must be EXTREMELY biased if you think countless people (including many who have supported the 360 this gen) saying they are going to get the PS4 if there are restrictions on used games, does require Kinect, and/or requires an online connection is taking away the PS4's thunder.  If anything, it's adding to it.  While people are starting to get a negative view of the NeXbox and MS is keeping quiet, Sony is announcing games coming to the PS4 at the major conventions.  Unlike the saying goes, any publicity is not good publicity.  And the longer you allow a bad rumor to stay out there, the sooner it becomes the truth in the public's mind, regardless of what you try to counter it with.  Also, if you get your message out too late, some people just stop caring.  Sure, they'll accept what you say, but they stopped being excited over it. 

As an example, I have two guys at work who supported the 360 this gen (we always jokingly dog each other back and forth for supporting the "other side"), but after the PS4 announcement they were thinking of switching.  After all the rumors and MS's silence, plus the positives they have read about the PS4, they are definitely switching.  And the way they talk, I'm going to guess they have no more interest in what MS is going to try to reveal.

So if MS is truly going to wait til around E3 to announce the NeXbox, they are going to HAVE to blow the PS4 out of the water (in terms of support, features, and power), as well as have one hell of an ad campaign, to rid themselves of the negativity the NeXbox will have surrounding it by then.  On the other side, the only big negative I have heard about the PS4, besides not knowing how they are handling BC, is people thinking it will release at $499/£425/€599, like the PS3.  So, if Sony can release it for $399/£299/€399, then that will be another big positive for them.  Of course, all this will most likely only have an impact in NA and UK, as I'm sure most in EU and Japan have already made up their minds.

Its all rumors at this point. when they anounce than people will decide what they will get. if next box is anounced as supporting used games and offline play people will buy it. if its anounced that its online only no used games people wont. until than all they have done is sucked all the news coverage and forum threads away from the ps4 anouncement. Regular consumers get their info after anouncements not before. there wont be any back lash on ms for these rumors.  there no bias here, just not going to base future purchases off of what are rumors and speculation. with out a price for the ps4 people cant really say they will buy it either. untill all info is released there is no way to make a good decision (except for wii u it has a price and it is released). should be common sense for people to wait for facts before judging something as unfit for purchase.

Exactly right on the bolded. It's strange how the only people who seem really up in arms about it are people who are not interested in the Xbox brand anyway. And the PS4 thunder has been pretty much non-existent outside of this same group of people. It's been all about the next Xbox and these rumors.

It's just funny to me how these people think the console wars are going to be decided in rumor articles published before the consoles are even released. Like someone else said.. MS reveals the next Xbox, showcases a new Forza and a new Halo and a couple new IP's.. debunks the rumors.. there is no harm done whatsoever.