Sources cited by gaming site IGN claim that Microsoft’s next console is being built in Texas by electronic manufacturer Flextronics.
Flextronics is a company that has manufactured parts of previous Microsoft games consoles.
The company is rumored to have created a new team of testers that was needed to come up with comprehensive marketing, and perform hardware and software tests of the future Xbox.
However, the site notes that these could be development kits that serving test trials for developers so that they know what hardware and software they are working with.
Microsoft has announced that there will be no new console at this year’s E3, crushing fans’ hopes to see a gaming system in the near future.
“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,” Microsoft’s written statement to IGN read.
“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 rumors or speculation.”