Friend of the show Derek Flickinger has a interesting post up on CE Pro about Microsoft’s position on Blu-ray now that HD-DVD is dead. It centres around the Xbox 360 and the options for adding Blu-ray to it.
You can bet you that Microsoft has been following this really closely and that they definitely have Blu-ray drives running on the 360. You probably can bet that they already have designed for support of it into their new Opus, Valhalla, and Orion iterations of the 360, too.
They never said that they were not going to deliver a Blu-ray drive. I believe they just had to wait until the BD backers settled down on something that they would be able to deliver without a ton of upgrades along the way.
As I keep saying digital downloads is the future and Apple are offering a lot of content via Apple TV as have Microsoft via Xbox Live, there just needs to be more content available (and a Media Center UI)