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We've heard rumors in the past suggesting that Microsoft is planning to release a streamlined version of the Xbox that will be used primarily for entertainment apps and XBLA games. A new report suggest that while the company has been working on such a device, they're currently rethinking their strategy.
According to the Wall Street Journal, Microsoft is currently testing the product with plans potentially release it alongside the next Xbox this fall; however, the fear of cannibalizing their own product lineup and/or being unable to compete in this arena has the company second guessing this move.
Do you think Microsoft should move forward with an Apple TV competitor, or should they pull back on idea before they dig themselves into a treacherous hole? Let us know in the comments below.
[Via]
