After the failure of Toshiba's HD DVD to Sony's Blu ray . Microsoft is in deep need of an alternative to compete Sony's play station and as well as with Nintendo.

Now Microsoft has no choice of having deal with its competent Sony for BLU RAY DISC.

UNDERSTANDING THIS SONY comes for deal:
About 48 milliseconds after the format war was officially over, rumors started running rampant (again) about Blu-ray making its way over to Microsoft's latest console. Now, however, those rumors actually have some legs -- well, at least a leg. According to Stan Glasgow, Sony Electronics US president, "Sony is in talks with console rival Microsoft about offering a Blu-ray drive for the Xbox 360."
Who will Win in this competition?

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