Microsoft has announced that they will be using their Xbox360 as another media extender box by allowing it to be an IPTV device. The ability to receive high definition programming over an existing broadband connection should be good news for content providers, and better news for those of us dying for high definition content. In addition, since you will already be internet connected through the Xbox, you could have communication with other Xbox users at the same time.
AT&T is already using Microsoft’s software, so will likely be trying to get in on the deal. With an installed base of over 10 million units and counting, there should be plenty of companies looking to get in on this.
The move to making the Xbox more of a media center than a game console has always been the plan. In order to do that, they first had to have a credible gaming device that would get it into people’s homes. And I think you would have to agree that they succeeded.