As we inch closer and closer to E3 in Los Angeles, the rumors as to what big announcements we might see at the expo’s big keynotes are starting to creep in.

The hotter one of them at the moment is the suggestion that the Xbox could soon see its own version of a VR headset.

This news comes as Ars Technica received a direct tip from a developer that it’s working on a VR game for the Microsoft console. The game in question was not confirmed, however it is apparently a franchise already known to us and is currently in development by a European studio.

This creates several questions. For one, are Microsoft planning on developing their own headset? Or are they going to make use of one that’s already out there. We’ve seen Microsoft and Oculus come together, to the point where Microsoft have bundled in Xbox One pads with the Oculus Rift headset for a limited period.

As if to line up with this, another rumour has flown in that an upgraded Xbox One, that could potentially power one of these VR headsets, is in the works.

What do you think? Could we be seeing a mammoth show from Microsoft at this year’s E3? Given that Sony ruled the roost last year, Microsoft could be keen on making sure it takes the top spot this time round. Of course, Sony will be aware of this goal, which means this year’s E3 could be an extremely exciting show.