Microsoft has said it before, but Neowin.net reports that in a recent interview with Japanese website ITmedia, Peter Moore admits that the Xbox 360 could see an add-on Blu-ray drive if it becomes the dominant format.
Moore also said that Sony could be limited by having a built-in Blu-ray drive, though knowing Sony they'll go down fighting with Blu-ray if it does lose out to HD DVD.
It's not difficult to see Microsoft switching allegiance if it's obvious that Blu-ray is to dominate, unless by that stage downloads have taken off to such an extent that they're more reliant on their Marketplace.
(Via PSPSPS)
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