Microsoft Denies 'Homestation' Multimedia Hub Talk

Microsoft Corp. MSFT.O on Friday denied it is building the "HomeStation", a rumored living room entertainment hub industry watchers have speculated could combine the software giant's Xbox video game console with digital video, music and Internet functions.

HomeStation rumors were sparked last September by a report in PC Format magazine that such a device would cross the Xbox with a PC and boast a bigger hard drive, audio and video technology and a wireless connection.

HomeStation talk resurfaced earlier in January as one analyst said he could confirm the existence of the machine in Microsoft and that it could debut later this year. "This reared its head several weeks ago. The odd thing is there is no thing called the HomeStation product or initiative," Microsoft spokeswoman Erin Brewer said. Microsoft was interested in "some of the longer-term ideas, but there's no product called that," Brewer said.

Talk that Microsoft could beef up the Xbox with music, movies, TV recording, e-mail and instant message capabilities has abounded since the company announced the product in 2000. The Xbox went on sale last November in the United States.

News source: Reuters

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