Rumours hint at the next Xbox being smaller and cheaper than the 360

Xbox 720 may be powered by ARM processors and Windows 9

Rumours have emerged over the size and specification of Microsoft's next home console.

It seems that while further Kinect support is a given, Microsoft may be scaling down the size of their next machine, aiming for a much more compact and affordable that the Xbox 360.

According to a blogger called MS Nerd the next Xbox will be powered by an ARM processor and run on a modified version of Windows 9 as well as improved Kinect funtionality.

MS Nerd wrote: "With a heady mix of rumors, tips and speculation, I am now stating that Xbox codename 'loop'(the erstwhile XboxTV) will indeed debut a modified Win9 core. It will use a Zune HD-like hardware platforma 'main' processor with multiple dedicated assistive cores for graphics, AI, physics, sound, networking, encryption and sensors. It will be custom designed by Microsoft and two partners based on the ARM architecture. It will be cheaper than the 360, further enabling Kinect adoption. And it will be far smaller than the 360. It will also demonstrate how Windows Phone could possible implement Win9s dev platform on the lower end."

Thanks IndustryGamers.

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