If we are to believe Microsoft spokesmen, then the Bill Gates camp has no plans of competing with the highly popular Apple baby -- the iPod -- for now. Recently, MS reps denied recent rumors alleging that it has partnered with a number of Japanese consumer electronics companies to develop a device to compete in Japan with the iPod.

According to the grapevine, MS was said to be engaged in a partnership with eight other companies to create a thingamajig that will try to steal the thunder from the iPod.

This was denied by a MS rep by saying that "the announcement that came out of Japan this week was simply about the Japanese launch of Windows Media Player 11...Due to translation issues, the announcement was misconstrued to sound like Microsoft was developing a rival to the iPod; that's just not the case."

The wrongly-translated Japanese press release also said that the companies listed in there are those that Microsoft has partnered with in Japan to ensure a good user experience. These companies have all agreed to support Windows Digital Rights Management 10 for portable devices.

The list consists of device partners (iRiver Japan, NTT DoCoMo, CreativeMedia, Toshiba, and Victor JVC) and service partners (The Language Channel, OCN Music Store, and Napster which will be available in Japan in the fall of 2006).

When asked by the media if MS has no plans whatsoever to compete with the iPod, Microsoft reps refused to comment. In addition, they also did not want to confirm recent backfence talks with regards to a portable gaming device dubbed as the "xplayer".