After Microsoft announced that they will no longer carry their HD DVD supplements for the XBox 360, some wondered if the console would go Blu. According to Financial Times, Sony and XBox are in talks. According to TeamXBox, they are not.

The first report said that Sony CEO Stan Glasgow spoke at a media lunch and said that Sony was in talks with Microsoft to go Blu, either with an add-on similar to the HD DVD drive, or possibly an internal drive in the XBox 360 Elite unit.

When TeamXBox reported on the story, a Microsoft rep sent in the following rebuttal:

"We have made no such announcement. Games are what are driving consumers to purchase game consoles and we remain focused on providing the largest library of blockbuster games available."

We'll have more on this as more information comes in.