A new Xbox One is almost certainly on its way, with a white model strongly touted by the rumour mill yesterday. Now there's word of a cheaper Xbox One due out this year also.

According to a "well-respected source", VG247 claims a new Xbox One will be out this year for less than the current £429 model. VG247 speculates that upon release of this cheaper console Microsoft will also drop the price of the current model so it's competing with Sony's PS4, which is around £350 now.

READ: Microsoft reportedly has white Xbox One release set for October

Another rumour hints that the new Xbox One could ditch the Blu-ray drive free to save manufacturing costs and feature Bluetooth. We doubt the drive-free story as it would save such a small amount of money on production and would require gamers to have massive broadband pipes if they want to download titles only. The Bluetooth add-on sounds right if Microsoft wants to get in on the wireless home revolution though.

Other rumours point to Halo 2 Anniversary Edition arriving on 11 November along with a beta for Halo 5.