Cable and satellite TV are dying a slow Zombie death. The limbs are continually cut off, but the head has so far managed to avoid a kill shot. We wonder how much longer they can survive. The New York Times is reporting that some dealings are going down between Microsoft and Disney. The focus of these dealings is ESPN streaming on the Xbox 360.

Apparently live streams of sporting events could come to the console with the viewer paying a subscriber fee. There would also be related interactive games. None of this is confirmed, so don’t take it as fact just yet. Though we do love the idea.

[Joystiq]