New Xbox Console?

I heard a rumor(don't remember where) about Microsoft thinking of making a new console to compete with the PS3 in the long run. The article said something like a new console in 2-3 years. I was skeptical at first, but then I realized the pattern over recent months. First off, the PSN is free, big plus. Next, the games, with Halo ending(come on, not even Bungie could milk this cow for long), and the developers of Gears of War only exclusive for two titles, we could see Gears of War 3 for the PS3. This was the case for Bioshock, Bioshock 1&2 will coming to the PS3. The flagship series' for the PS3 are practically guaranteed to never leave a Sony console. Killzone, Resistance, MGS, Gran Turismo, God of War, Uncharted, Little Big Planet, Tekken, Final Fantasy, Motorstorm, SOCOM, Infamous, MAG, DC Universe none of these will end up on another console. Sony is very good at keeping their good titles. If they can't get what another console has, then make an answer for it. Ex:Xbox-Halo PS2-Killzone. This determination coupled with a huge fan base worldwide is what, in my humble opinion, will keep Sony on top. Granted the 360 has Too Human and Gears of War for now, but they can't keep it up for long. So, from a purely business standpoint, this option would be very beneficial to Microsoft. Adding features such as Blu-ray, Wi-Fi, and perhaps a much lower failure rate, could be exactly what 360 fans need right now. Honestly, you know people would buy the console even if it was horrible, MS would just have to lie through their teeth and smile big for the camera. I read this article a while back and I just waned to share my opinions on the subject.