\r\n\/**\/\r\n\r\n\r\n\r\n\r\n\r\n\r\n\r\n Robbie Bach, who previously oversaw the Xbox\r\n division at Microsoft, is apparently working on a new project\r\n within the company, according to the New York Post and\r\n Reuters.\r\n\r\n Bach, whose role in the game group over the past year has\r\n resulted in far less visibility, is apparently leading the charge\r\n on a portable device, say sources cited by both news outlets.\r\n However, the device may focus on music and be the mythological\r\n "iPod\r\n killer" that has been long rumoured.\r\n\r\n "It seems like an exact head-to-head competition with Apple,"\r\n one source told the Post. "It's really like an Apple\r\n approach, to control the device and the whole stack of\r\n technology. This is like \r\n Xbox versus PlayStation."\r\n\r\n The question is will it also be like \r\n PSP versus \r\n DS? While the report goes into detail about a possible\r\n challenger to the digital music throne, currently held by Apple's\r\n iTunes, it doesn't mention gaming specifically, though many have\r\n predicted Microsoft is working on a portable gaming device.\r\n\r\n The handheld could be the first steps, though. Microsoft has\r\n insinuated that an iTunes-like digital music service would be a\r\n perfect fit for the \r\n Xbox 360, further expanding the reach of Xbox Live\r\n Marketplace. The company has also signed deals with record\r\n labels, including Warner Bros. Music and Epic Records\r\n (incidentally, part of Sony BMG), for Xbox Live Marketplace\r\n content.\r\n\r\n With the Xbox 360 positioned as a home entertainment hub,\r\n Microsoft could be readying a handheld that does it all -- plays\r\n games, downloads music, and shows videos.