Though there's been no official announcement on GameCube 2's hardware, according to Tokyo Reuters, Nintendo said on Tuesday it would launch the next-generation home console, GameCube 2, in 2005 or 2006 and denied newspaper reports saying it would delay the development of the new console.

It seems that the next Gamecube will be released at the same period with Xbox2 and PS3 thus making the console market more competitive. In an effort to differentiate its product, Nintendo will develop next Gamecube’s games to be funnier from what is expected from rivals Sony Corp and Microsoft Corp.

Last month, Nintendo announced plans to launch later this year a new, portable video game system, codenamed "Nintendo DS," that would feature two liquid crystal display (LCD) screens one above the other.

Analysts expect the Nintendo DS to be priced well under $200.