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60GB Xbox 360 for end of July?

Microsoft saving truth for E3.

Microsoft may be planning to unveil a 60GB Xbox 360 at its E3 press conference next week.

That's according to an intercepted letter which appears to be from the platform holder to retailers GameStop and Blockbuster, posted on 1UP.

It states Microsoft is launching this bigger model later in the month, and plans to phase out the existing 20GB unit.

Separate 60GB hard drives will cost USD 100 (GBP 50 / EUR 64) and likely go sale in early November, we're told, and also result in a price drop for the 120GB storage unit from USD 179 to USD 149 (GBP 76 / EUR 96).

Microsoft US PR adopted the usual "cannot comment on rumours" stance, suggesting we all wait until next week for lots of "exciting news" on how it will "innovate next".

Microsoft will be giving its E3 press conference on Monday at 6.30 pm UK time. We will be bringing you live text updates of everything that happens as it happens.