And you thought $49.99 was cheap. Word on the street has it that Microsoft's Xbox 360 HD DVD add-on, which has been seen as slightly less valuable since Toshiba pulled the plug on the once mighty red format, has stooped to €9.99 across the pond at GameStop (among other locales). For those not savvy on the absurd depreciation of the US dollar, we're talking $15.47 -- and that's with a Media Center remote bundled in, too. We're totally straight-faced when we say that's actually not a half bad deal if you're a fan of the media already out there, but the parsimonious among us are definitely waiting for these to come bundled with our favorite cereals before pulling the trigger.

[Thanks, Conor]

We're beginning to lose count of how many times we've been around this carousel, but just in case you thought yet another rumor would bring the Blu-ray-infused Xbox 360 any closer to reality, Microsoft's out to put the kibosh on your wildest hopes and dreams. Following up on the latest round of whispers that surfaced last Friday, Redmond proclaimed to GamePro: "As we have stated, we have no plans to introduce a Blu-ray drive for Xbox 360." The statement also noted that "games are what drive consumers to purchase game consoles, and we remain focused on providing the largest library of blockbuster games available." Right -- which totally explains your prior relationship with HD DVD.

For all of Microsoft's denial, the Xbox 360 Blu-ray console rumors just will not die. In fact, they are getting more and more specific. The Chinese language Economic Daily News is reporting that Pegatron, an OEM subsidiary of ASUS, has won the order from Microsoft to assemble the Xbox 360 with Blu-ray Disc ROM drive -- shipments are expected to being in Q3 of this year. Now come on Microsoft, just come clean on the matter, we won't tell anyone.

Those looking to better unify your lighting, security, HVAC and home theater are in luck, as a new team has just been formed to investigate what you want, what you need and how to deliver it. Whirlpool, Bell Canada, Cisco, Direct Energy, HP, Legrand, Leviton, Microsoft, Procter & Gamble, Zensys and the Z-Wave Alliance have all come together to "conduct an in-depth study about the state and future of the smart home." More specifically, the crew will be asking consumers what types of connected home applications could be created or improved upon, with a few examples consisting of TV-based Caller ID screens, remotely controlled temperature / lighting and the ability to crank your home stereo to 11 when a crook breaks in. Yeah, we're totally bluffing on that last one, but you never know.

Alleviating worries that mere format war irrelevance had gotten our friends in the VMD camp down, a statement was issued today regarding stories "emerging" on the internets alleging EU officials had confiscated money from Microsoft and/or Sony, and given to NME to subsidize its fledgling red laser HD disc (Hadn't heard about it? Neither did we.) NME, the backers of HD VMD, would like everyone to know that not only is that completely false, it also did not have sex with Brad at Cabo San Lucas, as had been reported. With that rumor smashed we can go back to eagerly anticipating our pre-ordered Lazy Town HD VMDs, just 499,999 more to go!

Trust us, you all aren't the only ones wondering what the status is on DirecTV's HDPC-20 PC tuner. After assuming that it was closer to (beta) release than ever after a mysterious signup made the rounds late last month, along comes the confirmation we've been yearning for. Numerous readers have received hardware agreements as part of the DirecTV Media Center Beta test, and sure enough, it very plainly states that the HDPC-20 is the item that will be tested. Hailed as a "dual satellite DirecTV tuner (black case) including two BBC modules connectors, a DC power cable and a USB cable," those lucky enough to get in on the action may also receive a Media Center Remote, IR receiver and TV tuner card. And we all know what happens after beta testing is over, right?

If you're suddenly overcome with a feeling akin to déjà vu, go ahead and kill that speed dial to your physician. For the second time in a month, Microsoft has actually come forward to squash a Blu-ray Xbox 360 rumor. This go 'round, an alleged statement from Redmond states quite outrightly that "Lite-On is not manufacturing Blu-ray drives for Xbox 360," and it continues on by noting that "customers who want a premium movie experience [can check out the] library of on-demand HD content" available to console owners. Still, we've grown accustomed to these denials by now, and while you'd think that having a pair of rumors on the matter smashed would put the issue to rest, we've all ideas this one isn't quite dead and buried just yet.

[Thanks to everyone who sent this in]

DigiTimes is feeling pretty confident about the rumors they started yesterday regarding the Xbox 360 with integrated Blu-ray. They are so confident that they're predicting a price war as Microsoft takes on Sony's PS3 at its own game. Their sources claim that the Blu-ray Disc drive will cost Microsoft between $95 and $100 -- much higher than the $18 to $20 DVD drives already found in the Xbox 360. Microsoft is of course, expected to sell its new Blu-ray rig at a loss as is customary in the console market. Sony may then be forced to lower the cost of the PS3 and/or retaliate by increasing Lite-On's cost for the Blu-ray components (like the BD-ROM pick-up heads) purchased from Sony. Whatever the result, the competition would be nothing but good news for consumers of HD media... you know, if the rumor is true.

Ok, here we go again. Despite Microsoft's attempt to quash Xbox 360 Blu-ray rumors, they're back... with a vengeance. According to "industry sources" speaking to DigiTimes, Lite-On is developing built-in Blu-ray Disc drives for the "next generation" Xbox 360 game console. Lite-On is expected to begin shipping the new BD players for assembly in the second half of 2008. DigiTimes also claims that the new, presumably smaller Xbox 360 will reduce the power supply from 210-watts to 170-watts. So... care to comment, Microsoft?

Update: As noted by our readers, Falcon-based 360s are already running at 175-watts.

Sure, 2009 may seem like quite aways away, but in around a dozen months or so, you should be able to acquire Microsoft's first HD webcam for the consumer market. Announced at VoiceCon 2008, TANDBERG will be responsible for delivering said device as a part of Redmond's unified communications platform. Apparently, the aforementioned firm is "expected to deliver the camera in conjunction with Microsoft's intended support of high-definition video in its next release of Microsoft Office Communications Server," and if all goes to plan, it should be released during the first half of 2009 for between $300 and $400.

We haven't heard much about Windows Rally since the first device was unveiled earlier this year, but it looks like Onkyo wants to join Microsoft's network connectivity movement. Microsoft demo'd streaming HD between different devices at the WinHEC 2007 (check the video after the break), and Rally should allow many different devices to communicate and configure each other (in theory, its like USB). We haven't seen any home theater hardware using this tech yet, but combined with a cross-licensing agreement just inked by both companies, Onkyo should likely have some Vista-ready receivers, players etc. on the way soon.

In a move just short of sending Xzibit over with a copy of Windows Media Center, Microsoft is encouraging customer installers to show just how much they can do and how well they can integrate media center into a home theater setup. Sure, anyone can run a few wires here and there, or bring a boxed solution to the table, but we get the feeling they're looking for some extra flash. In return, the winning company gets a trip for one to CEDIA 2008, trip for two to Microsoft HQ in Redmond, a photo shoot of the winning install and a "technology pack" including an Xbox 360 Elite, games, Zune and AV cables. Head over to the site to check out the rules before the deadline hits August 1, and don't be too shy to slide us pics of your potentially Xbox-winning setup, we'd like to see what you play CoD4 on.

Those hot/cold "Blu-ray coming to Xbox 360" rumors just cooled off a bit again, with product manager Aaron Greenberg telling Reuters "Xbox is not currently in talks with Sony or the Blu-ray Association to integrate Blu-ray into the Xbox experience". Clear enough? He also dropped the nugget that Microsoft expects to trail the PS3 in sales again in February, but should have things turned around by April, just in time for the GTA IV launch, which should also be right around the time this rumor rears its head again. In the meantime, digital distribution anyone?

Whether you're so burned out by the format war that you've sworn off physical media entirely or you want the instant gratification that only internet distribution can provide, you've probably heard about Swarmcast before. The company has great plans for HD internet video delivery and has shown some "proof of concept" with its Autobahn HD player for Flash. This week at Microsoft's web-centric MIX08 conference, Swarmcast announced that it is also partnering with Microsoft's Silverlight. Only time will tell if Silverlight's cross-platform reach will be enough to make it serious competition for Flash, but Microsoft's platform is gaining momentum.

Apparently, Steve Ballmer didn't just take time to respond to the latest iPhone announcements and give that whole Monkey Boy Dance another go during the Mix '08 event. Oh no, he most certainly took the opportunity to address Microsoft's stance on where it was headed now that the format war has concluded. Granted, it's not like it ever had much choice here but to pick up the pieces and support the Blu camp, but for those who put a great deal of stock in confirmation, Mr. Ballmer did say that it had "already been working on, for example, in Windows, device driver support for Blu-ray drives and the like." He also noted that "Toshiba had moved on" and that it too was moving forward, but unfortunately, he didn't make a peep about the recently rumored Xbox 360 BD add-on. Still, we're hoping that one thing will lead to another, if you catch our drift.

[Via Gamespot, thanks rooshma]