Latest Microsoft gaming rumor on the block is the surprising idea that the company is planning forward-compatibility for Xbox 360 games played on the third-generation Xbox. Where backward-compatibility is a console’s ability to play titles from a previous generation of hardware (e.g. original Xbox games played on the Xbox 360, either through hardware or software emulation), forward-compatibility would be gameplay, graphics, control and other features of a title “unlocked” by virtue of the next-gen console’s improved abilities.

The Xbox 360 Arcade bundle may be packaged with a motion controller and some motion controlled mini games. The bundle, which is expected to be released this holiday season is expected to be in direct competition with the Wii.




