Microsoft considers 'Portable Xbox'

Microsoft Game Studios VP Shane Kim has said he would 'never say never' when asked whether the firm would consider releasing a Portable Xbox.

Kim told the New York Times: "Launching a portable device is like launching another Xbox 360. You have to really step back and ask, ‘Devoting whatever bandwidth and resources you would have to make the Zune a multifunction device, is that really the best way to go?’."

The Microsoft chief also added he believes the Xbox 360 will have something to say before the Wii is announced as the winner of the of the new generation of consoles. "The generation has a long way to go so it's way too early to declare a winner," said Kim.

"I remember a couple of weeks ago, a lot of people were predicting that the Patriots would win the Super Bowl, too. For you Europeans out there – the New England Patriots (who were the favourites) lost the Superbowl to the New York Giants."