Announced earlier this year, Microsoft will offer an instant-on 1080p streaming video marketplace via the xbox 360 later this year.
After seeing the Smooth Streaming technologies available in IIS, it’s clear how this is possible. Check out http://smoothHD.com for an example high quality video that scales to your connection. The initial connection recieves a burst in speed, which is followed by a sustained optimized data steam.
In question time after my last session today @ Tech.Ed, I enquired if this is the same technology that the Xbox Movie Service will use. The answer is essentially yes.
The other problem with delivering that HD goodness is of course Australia’s bandwidth caps.
Microsoft already have an agreement with iiNet and Internode to offer unmetered content to their customers. Microsoft is also working to get many other ISPs on board.