For the first time, Microsoft has openly acknowledged that the next-generation Xbox console is in development, referencing it alongside a list of upcoming Microsoft products. Microsoft's general manager of Windows Live, Brian Hall, was interviewed by The Verge in regards to Outlook.com and had this to say:
We’ve had Hotmail and operated Hotmail for about 16 years. We obviously have Exchange, and Outlook, that people use at work. We just decided it was time to do something new and bring the best from each of those and put them together and release it right in time for the new wave of products that we could have coming out with Windows 8, with the new version of Office, with the new Windows Phone and the new Xbox.
Naturally a lot of other news sites quickly picked up on this, but we have to call Captain Obvious in to remind everyone that it was pretty obvious Microsoft is working on a new console, considering the Xbox 360 is almost seven years old and a new console generation is dawning. The console is allegedly known by the codename "Durango", but we've also seen "Xbox 720" mentioned - both of which are unlikely to be the final name.
Microsoft is unlikely to unveil any new details about the console until next year, when it is speculated the console may even be released. Details on the next Xbox vary widely, so we suggest you check out our past coverage for everything leaked so far.