Microsoft May Abandon XBOX 360 Backwards Compatibility
Nobody is concerned anymore about backwards compatibility. We under promised and over delivered on that. It's a very complicated thing... very complex work. I'm just stunned that we have hundreds of games that are backwards compatible. More are coming, but at some point, you just go, there's enough, let's move on, or people aren't as worried about a game being backwards compatible - and I like to think we've upheld our end of the bargain in making at least two or maybe three hundred games backwards [compatible].
There is however conflicting information. In a report by the BBC a Microsoft employee is stated as saying that a backwards compatibility update was coming in the near future and that more releases were planned after the upcoming update. It is worth noting that currently the software responsible for backwards compatibility on the XBOX 360 takes up an impressive 7GB of space on the XBOX 360 hard drive.
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