Rumours Grow Over Microsoft Handheld, 'Xplayer'

Speculation over Microsoft's entry into the world of portable entertainment has been a rollercoaster for anyone interested in the prospect.

Rumors earlier this year labeled the device as direct competition for the Sony Playstation Portable (PSP) and Nintendo Dual-Screen (DS), but reports of a legitimate "Xboy" could never be confirmed. By the end of March, Microsoft had denied the rumors enough that tech writers simply gave up on the story completely.

Theories are now again in the works, some including gossip that Microsoft's device may be more competition for Apple's iPod than its more traditional opponents in the gaming world. (Source: microsoft-watch.com)

Music-lovers may have Xplayer by Christmas time

When rumours over Microsoft releasing a gaming device surfaced in March, most insiders believed its earliest ship date would be mid-to-late 2007.

Such a long development period was expected with gossip-mongers spreading word that the handheld would use original Xbox technology to provide at least a slight edge over the Sony PSP. (Source: neowin.net)

Now that the format of the handheld has allegedly changed to competition for the iPod, speculation instead cites a release as early as this Christmas. (Source: microsoft-watch.com)

What's the hook?

The reason for the long delay and even longer hush over a possible "Xplayer" may be connected to the technology involved.

In order to draw consumers away from the immensely popular iPod, Microsoft is reportedly developing a player that could use WiFi -- wireless connection, that is -- to download music.

With WiFi becoming a public commodity in cities from Tucson to Philadelphia to Paris, Microsoft may be headed in an interesting direction. (Source: eweek.com)