The internet has been buzzing with speculation that to compete with Sony's Blu-ray, Microsoft will eventually roll out HD DVD games. Not so, says Microsoft's John Porcaro:
"I'm seeing lots of speculation about our upcoming HD DVD Player, and whether we have plans to publish HD DVD games. The answer is no.
Since announcing the Xbox 360 HD DVD Player accessory at E3 2006, we've been clear that it is designed exclusively for playing HD DVD movies. It will not play games on HD DVD."
Microsoft's reasoning? Porcaro explains that the company cannot see an advantage to switch from current DVD to HD DVD. Cost go up and load times increase. Seems like Microsoft is betting on games and not formats.
From kotaku