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Coming from a gaming community, I'm a very big fan of AMD. :)

The Register (a UK-based website) is reporting that MSFT engineers are busy designing the second version of Xbox around an AMD CPU, according to channel checks done by Fechtor Detwiler. According to the article, Fechtor Detwiler said in a research report that "INTC's strategy of combining graphics capability with processor function on the same device left MSFT with fears that they would lose the ability to provide enhanced video features offered by NVDA or potentially others." However, the article says the firm's reasoning is suspect, as the author doubts that INTC would jeopardize their Xbox contract for the sake of integrating graphics onto its CPUs.
 

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The first X-Box was rumored to have an AMD CPU using the nVidia chipset. When it was announced, it was Intel. I would love to see it become a reality, but I think it's a higher probability that the angle being used is for negotiating pricing with Intel.
 
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