All items on Xbox One will be priced in local currency, Microsoft's Marc Whitten announced at its E3 press conference. This move eliminates Microsoft Points, the economic system Microsoft uses on the Xbox 360.

The Xbox One will also allow users to share Gold features among people in your house. Whitten didn't specify if this includes all Gold perks or a select few, but he did reiterate that Gold memberships will carry over from Xbox 360 to Xbox One.

Xbox SmartGlass will play an integral part of the Xbox One experience. Through the accompanying SmartGlass app, players can set up matches in the background while they play and compare stats.

A demonstration of Xbox Upload Studio, a built-in DVR and broadcasting suite, was shown following a Killer Instinct match. Xbox Upload Studio automatically records and allows players to edit and share their recorded footage to all.

Microsoft announced the multi-genre, user content-driven game Project Spark at its E3 conference today.

Project Spark features SmartGlass and Kinect support, allowing players to define in-game features and items during gameplay. User-generated content can also be shared with the community, and players can remix and build on prior creations in order to customize their own worlds.

Footage shown at Microsoft's conference indicates that players will be able to create a variety of gameplay scenarios, ranging from complex action-adventure games to arcade-style shooters. The game appears to be a competitor to Sony's LittleBigPlanet series, considering its focus on collaborative online play and its broad array of customizable content.

Microsoft notes that Project Spark's gameplay is "only possible with the Xbox One's architecture." A release date was not announced.

Get ready for SWERY's (Access Games' Hidetaka Suehiro) patented brand of weirdness; his new project, simply titled D4, made it into Microsoft's showing of their upcoming Xbox One games at E3 2013. Not much information about it exists at the moment, outside of its status as an episodic murder mystery -- much like the director's cult hit from 2010.

Microsoft Corporate VP Phil Harrison announced Minecraft, a huge hit on Xbox 360, is coming to the Xbox One. In a brief reveal during Microsoft's E3 conference, Harrison said the Xbox One Edition of Mojang's game will have "bigger maps" and "more multiplayer."

We'll have more details on Minecraft: Xbox One Edition as we learn them.

Update: Now with added trailer.

Forza Motorsport 5 will include a "Drivatar" cloud-based feature, as announced at Microsoft's E3 press briefing today. A player's Drivatar is a personal profile that races while players are away, accruing points for players that aren't actually playing the game at the time.

The game was initially announced at Microsoft's Xbox One reveal event in May as a launch title for the system.

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Killer Instinct is on the way from Microsoft's Rare studio. The update to the classic arcade/SNES/N64 fighter will be released exclusively on Xbox One. A brief video revealed returning fighters and teased a 2013 release.

Coinciding with the new fighter, a new Xbox One Mad Catz Tournament Edition Fightstick will be available. Your Xbox 360 sticks won't work, remember.

Update: Double Helix is developing the new Killer Instinct. Weird!

"But the Gods know what once was can be again," an English narrator says of Ryse: Son of Rome, the upcoming Xbox One game from Crytek. The game stars Roman general Marius Titus.

The reveal then cut to a beach invasion, showing a squadron of Roman soldiers assaulting an entrenched enemy force. Eventually, a Roman soldier squares off against a Barbarian in one-on-one combat, revealing contextual kills and a parry system.

Ryse: Son of Rome will be an Xbox One exclusive and available at the console's launch.

A new model of the Xbox 360 was just revealed on stage by Yusuf Mehdi. It's inspired by the Xbox One design, and is available today!

Along with the announcement, Xbox Live Gold is being upgraded to a PlayStation Plus-style model, with two free games per month through the release of the One. First up: Halo 3 and Assassin's Creed 2. New and current XBL Gold members will get the games for free, to keep, starting July 1.

Update: added new image, corrected free games.

Konami announced at Microsoft's E3 press conference today that Metal Gear Solid 5: The Phantom Pain will debut for the Xbox One alongside previously announced ports for the Xbox 360 and PlayStation 3.

Promising "tactical espionage redefined," Metal Gear Solid 5 boasts a new open-world take on the series, offering up real-time weather and multiple transportation options.

The game also includes a dynamic CQC system. The Phantom Pain's storyline, at least partially, seems to revolve around rescuing Kaz Miller, a character originally featured in Metal Gear Solid: Peace Walker.

Konami did not reveal whether The Phantom Pain is exclusive to Xbox One, or if a release is planned for other platforms.

Update: Microsoft's Major Nelson confirmed that Metal Gear Solid 5 is not exclusive to the Xbox One.

During a Spike interview about Kinect Sports: Rivals, Rare let slip news of a November release window for the Xbox One console. While this is an obvious window for a new console, Microsoft only officially said "later this year" in its reveal event last month. Retailers have said "holiday 2013."

Microsoft will reveal more details about the Xbox One console at its E3 2013 press conference, which will start momentarily. Follow along as Microsoft reveals news on purpose in our liveblog.

Rare's Danny Isaac announced the Xbox One launch title Kinect Sports Rivals during a pre-E3 interview with GameTrailers.

Following up on its Kinect Sports series for the Xbox 360, Rivals includes a new selection of minigames powered by the Xbox One's improved Kinect sensor. Rival data will be stored in the cloud, allowing players to compete with friends at any time during gameplay.

Isaac noted a November release date for Kinect Sports Rivals, strongly suggesting that the Xbox One will launch that month.

Update: The live pre-show is over, but stick around for our liveblog of the Microsoft conference and another live, post-show video wrapup with Ludwig Kietzmann and Ben Gilbert.

Original story: Joystiq Editor-in-Chief Ludwig Kietzmann and Engadget Senior Associate Editor Ben Gilbert are live outside of Microsoft's E3 press conference, and they're ready to hear all about the Xbox One and its lineup of next-gen games.

In the week leading up to the conference, Microsoft announced more details about the Xbox One: To play games, it will require an internet connection at least once a day; it supports a one-time-use system for pre-owned games; and the Kinect won't monitor any background noise, Microsoft said. This conference is supposed to focus on games, games and more games, and we'll have a liveblog documenting every moment of the show.

Watch the live, pre-show video below (it auto-plays):

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A listing for a Capcom 30th Anniversary Character Encyclopedia recently popped up on Amazon, and is noted to launch on October 21. The encyclopedia is a 208-page hard-cover book that will offer "concise information about every major Capcom character, their key artwork, statistics, background information, and interesting notes on the history of each character and game franchise."

Published by Brady Games, the book will contain information about almost 200 characters and their respective games. It has a list price of $16.99, but can currently be pre-ordered for $11.04.

EA's Tiger Woods series may have some competition. It would appear Take-Two is preparing to tee off with a golf series of its own, Internet sleuth supererogatory discovered. A pair of Take-Two domain registrations for "Links2KGolf.com" and "2KGolfLinks.com" were recently made through a third-party company called Network Solutions.

Now Take-Two could be making a brand-new series or the publisher may have acquired the rights to the Links series from Microsoft – supererogatory thinks it's the latter. We've followed up with Take-Two and Microsoft for clarification and will update this post accordingly.

Enjoy watching some sushi get eaten off a naked lady, some dude getting shot in the kneecap (ouch!) and a city block get hacked in this Watch Dogs trailer. Sure to be more at Ubisoft's press conference later today.

Fable 3, the game in the series we all tried to forget until something worse came along in Fable Heroes, is currently free on the Xbox Marketplace. It's still unclear if this is a bug, since the way you obtain it gratis is a little convoluted, or if this is some portent to today's Microsoft press conference.

Here's how to get the game for free (which we've tested): You must be an Xbox Gold member. Head on over to the game's page and click purchase. Yes, it says that it's $20 (or whatever it is in your regional currency). Now comes the important part. Make sure you are paying with Microsoft Points, not with your credit card. You should see a final confirmation screen identical to the image above listing the game for free.

Enjoy! As much as anybody can enjoy Fable 3.

[Thanks to everyone who sent this in.]

Michael Gallagher, president of the Entertainment Software Association (ESA), the trade body that assembles the annual E3 event, said this evening that sales tracking service NPD was doing a "disservice to the truth" in its monthly reporting.

"The digital side of the industry is not being adequately reported, understood or covered. I think we've seen the consequences of that over the last two years," said Gallagher, concerned that NPD's monthly retail assessments don't give a full or accurate picture of the industry. He noted the retail side of the industry has flattened, particularly at the end of this current console cycle, while digital distribution has grown. NPD's standard of consistent monthly retail reporting, which it has provided less and less detailed public data on over the years, coupled with quarterly supplementals on digital distribution, isn't giving an accurate picture of the industry's current health.

"Here's the aspiration: there are other industries that do this well and they enjoy the upside and downside of truthful numbers," said Gallagher. "I think the industry is better off if there's a standardized reporting mechanism that is seen as whole, and complete and truthful."

The complication in Gallagher's wish is the closed digital distribution platforms of Valve's Steam, along with the PlayStation, Wii and Xbox marketplaces. To get an accurate picture of digital distribution revenue in this industry, it would require all these platform holders to openly share their sales data. And, perhaps, that's a dream for another console generation.