Microsoft has been planning on reducing the chip size of the 360's CPU since inception, but it looks like it's going to be a while longer before that actually happens. Digitimes reports that the large 90nm chip that's currently in the 360 will be shrunk down to a nicer 65nm, but not until mid 2007 because of a delay. The benefits of shrinking a CPU are not only cost reduction, but less power consumption, and less heat is generated. When a gaming console's innards get smaller and cost less, that can only mean good things for consumers and a possible price reduction may be in the distant future. And since the new smaller chip will need less power maybe we can finally reduce the size of that huge power brick.