VGLeaks is claiming new information supporting the dreaded "always online" rumors for Microsoft's next-gen console. But it may not be as bad as all that. According to the site, "Durango itself will also always be online like any other device (correct with rumors), but it will not be a requirement to play local content and it will not prevent playing used games."
If this is the case, I can see a lot of people finally ending their anti-Xbox 720 / Durango crusade, but until Microsoft makes an official announcement, everything is up in the air.
Hopefully this rumor will prove to be true, because Microsoft's been getting a lot of heat for the persistent "always online" rumors, especially in the wake of the "SimCity" launch fiasco.
In more negative news, the same source who reported the latest "always online" development is also saying that the new console won't be backwards compatible with the 360 (a rumor we've heard before). Not directly at least.
Says the report, "When the Durango (game machine) launches, it will not support backwards compatibility for 360 games out of the box. Instead, this functionality will come from the other unit that will be networked with the Durango to provide this (not unlike the DVD add-on for the original Xbox)." The other unit in question is an "Xbox Mini," which will also require an online connection. It's said the device was meant to serve as a competitor to Apple TV, and sounds like it will be similar to Nintendo's Virtual Library. "Xbox 360 Games can be played on it by purchasing Games on Demand on Xbox Live (for new purchases) or if already purchased, simply download it."
This kind of sounds like what analyst Michael Pachter had hinted at last summer, though nothing about cable service provider has been mentioned in the latest rumors.