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Xbox may get streaming TV service

by on06 June 2011

Likely announced at E3 if agreements are in place
We have heard that Microsoft has looked at the possibility of offering a streaming television service for using Xbox LIVE on the Xbox 360, but it has yet to happen, despite Microsoft offering a number of streaming offerings including Netflix, Hulu Plus, ESPN, and of course, the Zune video marketplace.

Microsoft would like to offer its own streaming service that they would charge a flat monthly fee for to offer a variety of content that subscribers could enjoy. It is similar in some ways to the SkyTV player that is offered on the Xbox 360 in the U.K. From what we are told, it would be more like a TV channel that streams, rather than a streaming service that offers a number of choices to watch.

According to the rumbling we are hearing, the project is called codename “Diamond” and should not be confused with a previous project believed to also be called codename Diamond. Microsoft is trying to get it together for an announcement at E3, but not all of the necessary contracts are apparently in place yet. Still, Microsoft is apparently going into the last hours trying to make it happen.

It is really no secret that Microsoft has wanted to attempt to move into this space, as the company took a run at trying to cut a deal with Conan O’Brien back in 2010 that could have made his show the cornerstone of this new “channel” offering from Microsoft. From what we have been able to understand, the sides could not reach a deal and Conan’s people felt the move was actually very risky.

We will have to see if Microsoft makes it happen or not for an announcement at their E3 press conference tomorrow morning.

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