Update: NO Blu-Ray for XBox 360!!!
Major Nelson, unofficial spokesman for anything Xbox has come out and denied what was previously misinterpreted by earlier reports that Steve Ballmer had confirmed Blu-Ray coming to the 360.
During an interview yesterday, Steve Ballmer was asked about Blu-Ray and the Xbox 360. I wanted to clear something up. Steve was referring to Blu-Ray accessories for the PC. As we have said in the past, we have no plans to introduce a Blu-Ray drive for the Xbox 360. In fact, the future of home entertainment starts very soon when Xbox 360 becomes the first and only console to offer instant-on 1080p streaming HD movies. With a library of thousands of TV shows and movies to choose from, Xbox 360 owners can instantly watch the movies they want, when they want, in the highest form of high definition.
-Major Nelson