New games expected for Xbox till 2007

Just to throw more gas on the fire — this report from Reuters says that new titles will be made for the Xbox until 2007. Is this just a standard transition plan, or is it an indication of the Xbox 360's feared lack of backward compatibilty? If the old box is going to get its share of new titles for 2 years to come that could mean the Xbox 360 won't be able to play them. Then again, it might not mean that. Welcome to pre-E3 mania!

[Thanks Fady]