Blu-ray on Xbox 360: it’s a rumor that just won’t die, no matter what. According to a report from technology news site X-bit Labs, Toshiba has been contracted by Microsoft to produce external Blu-ray disc drives for the Xbox 360.

While the exact specs of the drive are unknown at this point, expect it to fall between the range of $100-150 dollars, assuming this report is factually accurate. That’s around the price the now-defunct HD-DVD add-on peripheral initially launched at.

Maintaining its stance on rumors, Microsoft could neither confirm nor deny the report, simply issuing a “no comment.”

My take: Blu-ray will arrive on 360 eventually. Microsoft needs to appeal to the growing market of folks that want to watch movies in high-definition on their console and with HD-DVD long gone, introducing a Blu-ray player is the only way they’ll be able to do so.

Microsoft Preps External Blu-Ray Disc Optical Drive for Xbox 360 [X-bit Labs]

Target retailers across North America will offer a special edition version of Ubisoft’s forthcoming action sports title Shaun White Snowboarding this Winter. Slated to hit PlayStation 3, Xbox 360 and Wii, the SE features additional content over the standard retail version, including an entire mountain environment created specifically for the store, plus additional scenes and characters. more »

EA has sent over a selection of fresh new screenshots from the Time Trial gameplay mode found in Mirror’s Edge. Developed by EA DICE, the parkour-style first-person action effort is scheduled to hit PlayStation 3 and Xbox 360 on November 11. A PC release will follow later in January.

Mirror’s Edge Screenshots

Electronic Arts owned studio DICE announced today that a remix album for its parkour first-person action title Mirror’s Edge will be digitally released worldwide on November 11, to coincide with the launch of the PlayStation 3 and Xbox 360 game.

“A groundbreaking videogame demands an equally provocative theme song,” said Steve Schnur, Worldwide Executive of Music and Marketing for EA. “We’ve taken an unprecedented approach to this track, bringing together several of the world’s top remixers to create an album that will not only cross genres and borders, but also redefine how great new music can be delivered to the world.”

Not to be confused with Portal’s end theme track, the album features Lisa Miskovsky’s “Still Alive,” which was written and produced by Rami Yacoub and Arnthor Birgisson. Five remixed variations of the song are included in the album, each produced by various artists, including Benny Benassi, Junkie XL, Paul van Dyk, Teddybears, and Armand Van Helden.

Separate from the digital release, those who pre-order Mirror’s Edge at any participating Best Buy location will receive a free music CD containing the theme song to Mirror’s Edge and an exclusive remix by Benny Benassi.

Back in August, developer Grasshopper Manufacture announced that it was hard at work on a multiplatform “action horror game” helmed by Resident Evil creator Shinji Mikami and directed by Suda51 of No More Heroes fame.

Today, publisher EA sends word that Grasshopper Manufacture has licensed Epic’s widely-used Unreal Engine 3 for use in the upcoming title. more »

Developer Silicon Knights, perhaps best known for Eternal Darkness and Too Human, today announced that it has laid off 26 staff members. Without delving into specific details behind the workforce cut, outspoken company founder and president Denis Dyack mentioned that decision is a temporary one, while reassuring that “several new and exciting games” are scheduled to be revealed within the “coming months.”

Silicon Knights further noted that it hopes to bring the hard-working individuals affected back on board once development on these titles kicks into high gear.

Xbox 360 title Too Human, the latest effort from SK, shipped last August and sold 168,200 copies in its first month of release, ranking number 8 on the NPD’s top 10 software charts.

Microsoft today announced that MLB Stickball is slated to hit the Xbox Live Arcade service this coming Wednesday. Players can try their luck against eight randomly selected MLB teams in a game of stickball.

Developed by Gaia Industries, MLB Stickball will cost 800 Microsoft Points. more »

Capcom today announced that Mega Man 9 is set to receive its first bout of downloadable content this week. First up is Proto Man Mode, which allows players to play though the game as Mega Man’s mysterious brother. Proto has the charged shot ability, can power slide, and is equipped with a shield that deflects incoming enemy bullets. On the flipside, he takes double damage and perhaps even more frustrating, bounces back twice as far as Mega Man when attacked. Second is a new stage: Endless Attack. As the name implies, the stage tests your skills to no end.

The DLC is now available to purchase on WiiWare and is scheduled to hit XBLA on October 7, with a PSN release following on October 9.

A new screenshot of Remedy’s highly-anticipated psychological thriller Alan Wake has hit the internet. Shown above, the shot was taken from a Finnish trailer that is scheduled to debut on October 17, coinciding with the release date of the Max Payne movie.

Scheduled for a release on Windows and Xbox 360, little is known about Alan Wake thus far and not a whole lot has been shown in regards to gameplay footage, aside from a couple tech demos. However, expectations for the title are exceedingly high, given the fact that Remedy was responsible for handling development duties on both Max Payne video game titles.

We can never get enough of Resident Evil 5. Capcom just sent along more than a dozen screenshots from the fifth installment in its much-lauded survival horror series, highlighting the game’s cooperative aspect.

A PlayStation 3 and Xbox 360 effort, Resident Evil 5 is slated to hit Japan on March 12, with a European and North American release following the next day - March 13.

Resident Evil 5 Screenshots