BT Vision TV downloads set for Xbox 360

The focus for Microsoft's CES 2008 keynote was the departure of chairman Bill Gates and the future of Windows. Among the operating systems, convergent devices and celebrity cameos however, the billionaire dropped news that the UK would be the first country to receive on-demand IPTV content via the Xbox 360.

The deal, which sees the American firm partner with UK-based telecom giant BT, will see the Xbox 360 console used as a device to receive content from the BT Vision service. When the software update arrives in mid-2008, Vision subscribers will be able to access a library of on-demand content that includes movies, television and sports events. The Xbox 360 service will be fully integrated into the system dashboard, which will allow Xbox Live connection for simultaneous voice chat and instant messaging, as well as access to the other services on offer.

BT Vision has been available in the UK since December 2006. It allows BT subscribers who pay a minimum £17.99 a month subscription to receive on-demand media over a broadband connection, as well as standard free-to-air digital TV. Films currently retail at £1.99 to £2.99 per rental, TV shows at £0.79, and music videos at £0.29, whereas unlimited themed-content packs are priced at £6 a month. Currently, this content is displayed only via BT's 'V-box' hardware, a device that also lets users watch and record live Freeview TV.

Although the Xbox 360 won't offer the live TV aspect of the package, there is a possibility that it will offer some compatibility with existing hardware. BT spokesperson Adam Liversage told CNET.co.uk's sister site GameSpot UK that the company is looking into the possibility of streaming live content around the home using the V-box unit. He also pointed out that although the vast majority of on-demand content will be accessible by the Xbox 360, Setanta Sports' football coverage will be exempted. BT's 'near-live' coverage, in which matches are shown in full a few hours after the end of live games, will be offered instead.

Dan Marks, CEO of BT Vision, went on to say: "For the first time, consumers in the UK will be able to experience the advantages of an advanced TV service together with the benefits of next-generation gaming. Our aim is to provide BT Vision on multiple platforms -- giving customers greater convenience, control and flexibility over what they watch, when they watch, and how they watch TV. It also means that we are able to potentially expand our BT Vision customer base by tapping into the popularity of Xbox 360."

Although BT Vision content is currently being delivered in standard definition, Liversage said that high definition was definitely on the company's future road map, and the standard V-boxes are described by BT as being HD Ready (they have HDMI output).