Eurogamer at a launch event in London for the console's new social media applications, Thompson said the rumors "weren't accurate" and claimed Microsoft has yet to determine "a lot of things" related to the launch of its new motion-sensing technology.
According to the rumors, Microsoft was set to ship around five million Project Natal units next fall, alongside 14 supporting titles at a price point that could go as low as $50 (£30). When asked about the rumored details and price, Xbox's head of Europe, Chris Lewis, jokingly added, "Now you know better than to listen to that stuff! We will announce in good time."
However, Lewis did remind Eurogamer that Microsoft is striving for "unique" and "compelling" experiences with the technology. "That has to happen and will happen," he said. As long as whatever "happens" doesn't follow Microsoft's traditional Xbox 360 peripheral pricing scheme, we'll be happy.