XBox Live Update is Your Video Destination

"Microsoft will roll out an update to its Xbox Live platform on Tuesday, which will bring a host of new content to its users. While much of the new content comes from cable and IPTV providers and TV networks, the importance of the update is more in the blending of online and pay TV content, and the ability to surface it side-by-side."

The update to Xbox Live is getting attention for its Kinect capability, but also of note is just how much integration with video services it offers.  Out of the box, it will support a lot of premium video services such as Hulu Plus and Netflix, with other services such as YouTube and TMZ coming soon.  While all of these services can be had through a desktop computer, tablet, or one of a multitude of other devices, having them all integrated into a single device adds a lot to convenience.  I remember years back, hearing about the "battle for the living room" between Sony and Microsoft when the PS2 and original X-box came out.  Both kind of floundered with that, but convergence seems to finally be arriving.  I suspect that this will eventually make its way over to Windows Phone 7 devices, and possibly, a proper Windows application as well, so if you exist in the Microsoft ecosystem, all can be had in any way you want.  It just turns out that your main competitor for the "living room" will more likely be Apple, with its iTunes empire, and the living room is not just the living room, but anywhere where mobile technology exists.