An article by Reuters saying that "Microsoft's Xbox could consider Blu-ray support" has caused a lot of misinterpretation. At least Microsoft think so.
According to gaming site kotaku.com Microsoft has made it clear that they remain dedicated to the HD DVD format. "There was a critical element of our comments missing from the story -- Microsoft currently has no plans at this time to consider Blu-ray as an option. We continue to believe that HD DVD is the best optical solution for consumers, since it's the only format today that delivers quality experiences at affordable prices." a MS spokesperson clarified.
He continued "While the article states that Microsoft might possibly look into Blu-ray, we just want to emphasize that there are no current plans to consider Blu-ray as an option. Microsoft continues to be dedicated to the HD DVD format and we don't want the Reuters article to mislead or suggest otherwise."