If accurate, the work is being done in Austin, Texas by Flextronics, the same company that manufactured the original Xbox and the current-gen Xbox 360.
Of course, the manufacturing will not be for retail SKUs but likely for developers to work out debugging.
As has been standard, Microsoft declined comment but did add the following: "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."
Microsoft is not expected to unveil the console until E3 next year as it has already confirmed there will be no announcement at this year's event.
Written by: Andre Yoskowitz @ 6 May 2012 16:07