Word that Blizzard and Microsoft were in Xbox 720 talks emerged last week via GamesIndustry.biz, which claimed that Blizzard executive Rob Pardo dropped the tidbit during a "Lunch with Luminaries" discussion at Game Developers Conference.

"We aren't in discussions with Microsoft regarding any future consoles," Blizzard, also responsible for the popular Diablo and StarCraft series, told GameSpot today.

According to Blizzard, Pardo merely noted that "Microsoft occasionally bounces ideas off of us, with no specific reference to any possible future consoles."

The company, which is also working on a next-gen MMO, added that "this [consultation] should come as no surprise, as our games run on Microsoft's PC operating system."