It looks like the recent news that 60% of the code for Windows Vista needs to be re-written is completely false.

Microsoft slammed an article by Australian technology publication Smart House on Friday, calling it “speculation.” The retort came as a result of a story that cited sources within the company saying as much as 60 percent of Vista code needs to be rewritten.

The article claimed that the Redmond company had to transfer developers from the Xbox team to the Windows division in order to ensure the Vista makes it to a CES 2007 release. Much of the article centered on issues with the Media Center and multimedia functionality, and claimed Intel was assisting Microsoft in rushing out the new code.

Microsoft said that Vista is “feature complete,” which means that the code writing process is basically over. “The next phase of development focuses on security, testing and fit/finish - not writing new code,” the spokesperson added.