Chinese-language industry journal,
The Commercial Times, reports that Microsoft will shrink the Xenos graphics processor in the Xbox 360 from its current massively overweight, pig-like, gargantuan 90-nano meter to a more svelte, attractive and generally acceptable 65Nm in the Fall.
By Fall, we don't think that the report means a point after which Adam and Eve were chucked out of the Garden of Eden, but Autumn of this very year.
So, what does this mean? For a start, the manufacturer - a company called TSMC - claims that the chips will make up to 5% of its "profits for mid-year". So, either TSMC is a tiny company (it's not) or sales of the 360, and we assume Elite are not expected to drop off.
Secondly, it means that - in an ideal world - the Xbox(es) should require slightly less power to run and should therefore output slightly less heat.
Source: Digitimes