Microsoft and Sony are reportedly preparing to kick off a new console cycle in 2014. However, Nintendo will likely launch its next-gen console two years earlier in 2012.
"Both MS and Sony are telegraphing to each other that they're delaying, to milk the current [generation] and fill in previous craters better," an inside source told Kotaku.
Other sources confirmed the above-mentioned 2014 date, although they emphasized both companies could debut new consoles in 2013 if they feel "pushed."
However, if MS were to introduce a console in 2013, it would only be a "Kinect-upgraded" system, rather than a full-on, next-gen console.
According to the source, even Microsoft doesn't yet know what components will be in the next Xbox, as Redmond is "is wrestling with whether to be profitable on day one."
"I think we'll see a game of chicken between Sony and Microsoft," M2 Research analyst Billy Pidgeon opined.
"Sony definitely isn't launching a successor before 2014 and could stand to benefit by having Microsoft launch first as PS3 builds in to North America and builds a strong position in Europe. Microsoft claims there's a lot more room in Xbox 360 for developers to max out, but here PS3 could have a strong advantage."