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Rumor: Natal part of new Xbox console, due Fall 2010

Microsoft Shane Kim acknowledged that the Project Natal launch would be more like a console launch than a simple peripheral launch, saying, “Conceptually, the launch of Natal will be like the launch of Xbox 360″? Well now, 1UP is reporting that, if its sources are correct, the Natal launch will be a new console launch. “Microsoft will not only release Natal as an add-on for the Xbox 360, it will come standard with the next Xbox console,” 1UP writes. “Yes, there will be a new Xbox console next fall.”

We are sure many of  you think this is going to be a simple bundle, Natal camera included, 1UP “heard it will be considered a new platform and carry a new name.” Suddenly, we’re all reminded of the rumored Valhalla chipset, which would combine the 65nm CPU and 65nm GPU into one superchip, with reduced cooling and power demands. With that, Microsoft taking a page out of Sony, could make a smaller – “more Wii-esque if you will” – Xbox 360 console, perfect for the mainstream consumer and perfectly price for the Wii consumer.

Furthermore, that chipset is expected to arrive sometime around 2010 which is precisely when 1UP pegs the new console’s launch: “sources point to next year’s Game Developer’s Conference as the target for its unveiling and Fall 2010 as the target for release.”  Comment below and teel us what you think about a new Xbox gear towards the Wii crowd.

[Via Joystiq]