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Microsoft is said to be building an Xbox with no disc drive

The next Xbox you buy could cost as little as $200, but you'll lose the ability to play disc-based games.

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When Microsoft launched the Xbox One, it banked hard on the idea that gamers would favor digital content over physical discs -- a gamble it had to backtrack on almost immediately after the console was announced. Now, according to a new report from Thurrott, the company may be revisiting the idea of a digital-focused game console.

Specifically, Thurrott claims that people familiar with Microsoft plans say that the company is planning to release an Xbox console without a disc drive.

Thurott's Brad Sams says that the console is basically an Xbox One S with the optical drive removed -- a change designed to bring the Xbox One hardware's price to the lowest point possible. The final unit is expected to cost $200 or less.

Already have a collection of disc-based Xbox One games? Sams says that won't be a problem. Alongside the new console, Microsoft is said to be launching a "disc-to-digital" program that will allow players to trade in their discs at select stores for digital codes.

If that sounds familiar, it's probably because it's somewhat similar to the game-licensing strategy Microsoft originally planned for the Xbox One -- a DRM-heavy system that made every physical game disc a one-time-use redemption key for digital games. Microsoft reversed that policy following public backlash.

On top of this rumored discless console, Thurrott also reports that Microsoft will release a revised Xbox One S console that retains the disc drive but still has a lower cost.

Neither console is confirmed to exist, but if Thurrott's sources are right, we should hear about them soon: the sans-disc Xbox is reportedly targeting a spring 2019 launch.

Microsoft declined to comment on this rumor. 

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