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In a revised statement, Microsoft says it has "no plans" to introduce any Blu-ray add-on for the Xbox 360. But—despite the fact they watched the same video you did—they claim Ballmer was referring to the PC.
One more time, for posterity, this is what Ballmer said in reply to a question about p...
• Is it OK to use OEM Windows on your own PC? Don't ask Microsoft - Microsoft used to say that you could use OEM versions of Windows on a homebuilt PC, but that language has been removed from official Microsoft documents. Ed Bott looks at how confusing the situation really is.
Mon, Nov 16 | from Houston Chronicle