Microsoft isn't having any trouble selling its Xbox 360 game console even though it's seven years old — the company recently reported sales of 750,000 units over the recent Black Friday weekend — but that doesn't mean it isn't working on the next generation of the platform. Bloomberg, citing inside sources, is now reporting that Microsoft plans to release the next generation Xbox in time for next year's holiday season, likely just in time to capitalize on 2013's Black Friday. This shouldn't come as a huge surprise to anyone that is following the gaming space — both Microsoft and Sony are expected to release next-generation consoles next year, and rumors of a late 2013 launch for the next Xbox have circulated since at least January of this year. Microsoft is also reportedly working on a stripped-down version of the console for next year that will favor home entertainment services over hardcore gaming.

Bloomberg notes that the company could opt for a stand-alone event to officially announce the new Xbox, instead of announcing it at an industry trade show such as E3. The report does not elaborate on what specs or capabilities the next-generation Xbox will have, but it's safe to say that it will incorporate Microsoft's Kinect motion technology and a host of entertainment-based services.