For months, the video game industry and fans of Microsoft’s Xbox console have believed that the Xbox 720 would be codenamed “Durango.” However, according to a recent report, this may not be true.

Originally reported by tech news source SemiAccurate, the Official Xbox Magazine has written that the Xbox 360 successor might be internally labeled “Kryptos.” However, this could just be a ploy by Microsoft. As OXM reports, the company could have more than one codename for its next-generation console. Reports have said that this was the case with the Xbox 360, allowing Microsoft to more accurately target the sources of leaks.

But the device’s name isn’t the only bit of speculation to surface this week. The same website also reported that the Xbox 720’s core chip, known as “Oban,” may enter production before the year is over.

“Last we heard, Oban was still scheduled for mass production wafers before the end of 2012, but the problems we outlined could delay that,” SemiAccurate writes.

Yields of the “Oban” chip are said to be “painfully” low, the website reported back in September. This core chip allegedly went into initial production last January, and now just about one year later “Oban” could go into mass production. The chip is already being produced in the Far East, allegedly, and is said to be produced by AMD rather than IBM.

Microsoft’s forthcoming Xbox is rumored to come packed with a Blu-ray disc drive, a next generation Kinect, TV input and output, and 8GB of RAM among other features and specs. While little has been confirmed about the next addition to Microsoft’s Xbox line, CEO of Crytek Ceval Yerli said that memory space can be one of the most difficult features to pull off correctly.

“Memory is the single most important thing that is always going to be underbalanced,” Yerli said according to gaming site Video Gamer. “I’ve never seen a console where the memory was the right balance. Xbox 360, underbalanced. PlayStation 3, underbalanced. Simply because memory is the most expensive part, hence I wish there would be a cheaper way of doing memory so that memory doesn’t become an issue anymore.”

He added that more memory gives both players and developers room to do more with the console.

“As a person who likes to drive technology-meets-game design as art you can never have enough memory. Ever. Simple as that,” Yerli said.

It’s hard to predict exactly what we’ll see in the next video game console from Microsoft, but 2012 has seen some interesting rumors and speculation. Earlier this year an alleged internal document from the company leaked on to the Internet, detailing Microsoft’s plans for its Xbox 720. Patent filings from the long-time PC software maker have also hinted that Microsoft plans to delve into the augmented reality market, but the company has not yet spoken about its plans.

Xbox Specs Release date Chip