Microsoft is still trying to win over Japanese developers its Xbox console. While Square and Enix confirmed negotiations with Microsoft, neither company has even hinted at possible development at the current time.
Square said it currently has no plans to develop games for Xbox, but still expressed interest in the console due to its built-in hard drive and ethernet adapter, both vital components for online gaming.
For reference, Square has been in negotiations with Microsoft for almost two years without reaching any kind of agreement with the Redmond-based company.
Enix stated that even if the company decided to release some of its titles on Microsoft's console, a Dragon Quest game won't be among them.