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Earlier this year, the game industry was rocked by reports that Microsoft was developing a handheld under the code name Project Origami.

But while many outlets have reported the Diffusion paper as being an official announcement of a mini-Xbox, it remains only informed speculation. "New research from The Diffusion Group suggests that Microsoft will likely leverage its Xbox franchise to enter the portable game console market in late 2007 or early 2008. More...

Credit: Game Spot