Next-gen Xbox in production — rumor

Microsoft has started the manufacturing process on its next-gen Xbox, rumor has it.

IGN has heard from a source who says the work is being done in Austin, Texas at Flextronics, the same manufacturer who built both the Xbox and Xbox 360.

Don’t get too excited though, as chances of this being final retail hardware are slim. It’s more likely that devkits have entered the production phase, so it’s best not to expect a surprise E3 announcement or anything of the sort.

Microsoft has responded to the rumor with the following statement: “Xbox 360 has found new ways to extend its lifecycle like introducing the world to controller-free experiences with Kinect and re-inventing the console with a new dashboard and new entertainment content partnerships.

“We are always thinking about what is next for our platform and how to continue to defy the lifecycle convention. Beyond that we do not comment on rumours or speculation.”

Flextronics hasn’t commented.

Microsoft’s E3 presser will be held on June 4th. It can be streamed over Xbox Live.