Microsoft Denies Blu-ray Support, Admits Hardware Shortages

Microsoft continues to send conflicting signals on the company’s likely support of Blu-ray technology for the Xbox 360, with the format’s group product manager Aaron Greenberg stating that the company is not in talks to create a Blu-ray peripheral. Only last week Microsoft CEO Steve Ballmer stated that the company would support Blu-ray “in ways that make sense”. This followed less ambiguous comments from more junior executives, including Xbox group marketing manager Albert Penello and UK Xbox boss Neil Thompson that suggested support was possible even before the collapse of HD DVD. However, in a new Reuters interview Greenberg stated, “Xbox is not currently in talks with Sony or the Blu-ray Association to integrate Blu-ray into the Xbox experience.” In the same interview, Greenberg also repeated earlier Microsoft warnings that hardware sales for the Xbox 360 in North America would be unnaturally low in February, following continued supply problems. This is likely to see the PlayStation 3 outsell the Xbox 360 for the second month in a row, when new NPD data is released later this month. "We definitely expect we will trail in February as a result of our supply constraints," said Greenberg. "By April, we will be in a very healthy inventory situation."