Kotaku are reporting that Microsoft plan to unveil a new addition to the Xbox One family at E3 2016.
The new console will be a smaller and cheaper version of the current iteration, though whether that means we will be sacrificing processing power and functionality remains to be seen.
According to Kotaku's anonymous source, Microsoft plan to follow up this release with a more powerful Xbox One in 2017 which may boast Oculus compatibility, 4K support and much faster processing power. This is all a part of a master plan by Microsoft, codenamed Helix, which will have a focus on closer integration between Xbox and Windows.
We may also be seeing more frequent Xbox releases, with Microsoft moving towards an Apple like release schedule - with major and minor iterations every year or so, as opposed to the current cycle of five years between consoles. Personally, I'm speculative as to whether or not they can pull this off while maintaining value for money and significant performance increases, although some may say that Apple do not add value to their products with each iteration, so I suppose that remains a matter of opinion.
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