Revealingly-named tech news site SemiAccurate reports that the next Xbox is code-named "Kryptos", rather than the "Durango" appelation that's been doing the rounds for a while, and that the console's core "Oban" chip may yet enter production before the end of 2012.
"Last we heard, Oban was still scheduled for mass production wafers before the end of 2012, but the problems we outlined could delay that," the site writes. According to SemiAccurate, the next Xbox's core chip is being manufactured by AMD rather than IBM, and is already in production somewhere in the Far East. However, faults in production may cause the device to miss its widely rumoured late 2013 release date.
Regarding the codename, it's perfectly possible Microsoft has more than one in circulation - according to our own sources, the company followed this procedure with Xbox 360 in order to better identify the origins of leaks. Side note: Kryptos sounds way better than Durango.
Momentum is building on the next gen front. Pretty much every major developer or publisher worth its salt is scraping together a new game engine. Some are already hiring openly for next generation console development.
Much obliged, VG247.