We've already heard talk of DirectX 11 and an E3 2012 launch for the newest Xbox console and now AMD is adding that the console will be capable of producing graphics with Avatar-levels of detail. Referring to the smash-hit movie that put 3D on the map, Examiner cites director of ISV relationships at AMD, Neal Robison, as saying Xbox fans have a lot to be excited about.

Aside from stunning graphics, Robison is quoted as saying that the next-generation console from Microsoft will boast A.I. and physics capabilities that will allow for every pedestrian in a games like Grand Theft Auto or Saints Row 'to have a totally individual mentality'. That means no more of the mob mentality that sees everyone just running away screaming, each character will do something different.

The Examiner is using August's issue of Official Xbox Magazine as a source for the information, but AMD has not confirmed that it is working on the Xbox 720. Similarly, Microsoft has not confirmed any details regarding the new system. Elsewhere in the market, Nintendo just introduced the next generation Wii, the Wii U, which is scheduled for launch next year. Sony is also rumored to be working on the PS4, which is also expected in 2012.