New Xbox ready for E3 2012?

Microsoft will apparently announce a successor to the Xbox 360 at next year’s E3.

That’s according to VideoGamer, which cites an anonymous "high ranking" source at developer Crytek. Who, incidentally, is working on Timsplitters 4 for the machine, according to the claims.

DirectX 11 is said to be forming the basis for the new hardware, though Crytek’s CryEngine 3 is also said to be being lined up as a cornerstone of the next-gen machine’s development.

VideoGamer goes on to speculate that Halo 4, which was announced at E3 last week, could also be a launch title.

Rumours emerged last month of a possible Xbox 3 dev kit doing the rounds with developers, though some analysts have expressed doubt over the strategic validity of launching a new machine at this point.