Earlier today Kotaku reported that Microsoft is preparing to release at least two new Xbox models in the next two years.
Keza MacDonald and Jason Schreier have both made claims that we'll get at least one compact version later this year. One of their sources also claimed that it'll include a larger 2TB hard drive.
Polygon has also talked to their sources, which claims that it'll be 40% smaller and include 4K support for video content. The fact that we'll get a slim version, reportedly in August, doesn't exactly come as a surprise since this is considered common knowledge.
What might surprise some of you is that they've also heard that Microsoft will launch a more powerful Xbox One next year.
The upgraded console is apparently codenamed Scorpio, and it will reportedly have a performance target of approximately 6 teraflops. Giant Bomb's report earlier this year claimed that PlayStation NEO aims for approximately 2.25 times the power of PS4's, so around 4.14 teraflops. Even with all the extra power Microsoft has apparently also chosen to have games working on both versions of the console.
Kotaku reports that Scorpio will be "technically capable of supporting the Oculus Rift", while Polygon's verified that while Scorpio will be technically capable of supporting the Oculus Rift, the ongoing relationship with the virtual reality headset maker hasn't changed since it was announced last summer.
As is the case with Sony, Microsoft are discussing how to best manage their messaging with the new hardware. Both companies have taken note of the public's reaction to the rumours and wish to word themselves in the right way when presenting the new consoles.
Originally, Microsoft had no plans to announce Scorpio in 2016, but as Sony are considering unveiling NEO earlier than planed they're also expected to accelerate their plans. As Microsoft usually announces new hardware in a special event prior to E3 some think that this will be the case this time as well. We doubt this though, as sources we've talked to claim that Sony is waiting to see if Microsoft will announce their upgraded console before announcing NEO.
If both companies are just waiting for the other to make the first move, we're guessing neither will make a move before E3 (at the earliest).
A price for Scorpio is also still under active discussion, and is unlikely to be revealed until next year.
Some fear that upgraded consoles will become common, and Ms. MacDonald's sources say that it will. Apparently the company is moving toward an iterative approach to their consoles. Sources say that instead of one hardware revision every five years or so, as we've become used to, Microsoft plans to move towards an incremental model, with more frequent hardware releases.
As we wrote back in April, Xbox's Phil Spencer never denied working on a new Xbox One, and now we probably know why. We'll say it again: the next few months will be very interesting.