According to reports, Microsoft has suspended talks with media companies over the possibility of an online subscription service for TV and film on Xbox 360.
The initial report from Reuters suggests that: "people familiar with the discussions" have revealed intense negotiations with potential partners have been put on hold, with Microsoft baulking at the price on the table.
The potential of Kinect enabled television is exciting, so it is a shame that Microsoft has decided not to continue talks with prospective media providers.
Microsoft will no doubt continue to expand the range of media apps available on the Xbox, and will likely look again at a potential online subscription service, though based on recent events, it might not become reality for some time.