Microsoft’s Windows Phone 7 operating system, which will be released in October 2010, will not only integrate the Xbox Live service, but will also allow users to play Xbox Live arcade games using the phones.

Microsoft demoed its cutest game ever - Kinectimals - for the Xbox 360 Kinect at E3 2010.

The Gamescom show which will get underway in Germany from August 18 to 22 will see Microsoft announcing the retail price for the Xbox 360's new Kinect controller.

While Final Fantasy fans wait for the series' onto the Xbox 360, Square Enix and Microsoft announced the launch of the special edition Final Fantasy XIII Xbox 360 bundle.

Battlefield 1943 for XBox Live andPlaystation 3 (PS3) will be released next week by Electronic Arts. The game recaptures the battles of the second world war. The multiplayer Battlefield 1943 can have up to 24 players.