Microsoft has dismissed rumours that it's planning to release a slimmer Xbox 360 next year.

TG Daily said yesterday that an 'Xbox 540' would arrive in 2009 to reinvigorate the Xbox line, much like the slim versions of the PlayStation 2 (PS2) and PlayStation Portable (PSP) had done for those systems.

Microsoft, however, moved quickly on Wednesday to deny the rumour.

"While we don't normally comment on rumours like this, we can tell you that we have no plans to release a new console in 2009," a rep said.

Even so, rumours have persisted this year that Microsoft is working hard to streamline the insides of the Xbox 360, as part of an effort to combat the console's notoriously high failure rates.

See also:

Xbox 360 review

PS3 review

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